Tree Diagram - typicall question on Exam

CFA Level I
#1

Hi all,

I’m just and wondering about typical questions on the exam for some topics. For instance, I just worked on this question:

image

And although this is not complicated, the process of arriving at the answer is a bit long, so I help myself with pen and paper. As I am aware, on computer-based exam, no scrap paper is allowed. Are these questions typical for exam?

I know this can be solved on the calculator at once using multiple brackets, like this:
0.65x((0.75x3)+(0.25x2))+0.35x((0.4x1)+(0.6x0.9))
but then the chance of error is higher, so I break it down. Or is there an easier way?

The question above is only one example. On multiple questions (like variance, and stand dev for distributions, where I needed to do tables) I was wondering if this is really standard on the exam?

Interesting to hear your comments. Thanks!

#2

I get the impression that this is not true.

#3

Prometric will give you a block of papers and a pen for you to use. This was the case when I went there last time, which was about a week ago. CFAI might do tings slightly differently, but I expect that you will receive at least something to work on the problems.

#4

They’ve already given you the weights in the far right column to multiply by the EPS to get the unconditional E[EPS] C. Plus, I think an exam question wouldn’t be given to you in this form. :man_shrugging:

#5

Thank you guys, all very useful pieces of info! This helps and simplifies it! :slight_smile: