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Derivatives of Trig Functions. Example Problem Find the slope of the line tangent to the graph of g of x equals 2x cubed, times sine x, 1x equals pi. So slope of the line tangent, that is a dead giveaway that we’re doing a derivative when x equals pi – find g prime of pi….

CFA Level 2 – Financial Reporting and Analysis, Session 7 – Reading 26 (Practice Questions, Sample Questions) 1. Consider the following statements:Statement 1:Compared to the cash basis of accounting, the accrual basis of accounting provides more timely information about future cash flows.Statement 2:Compared to the cash basis of accounting, the accrual basis requires more use…

Linear approximations and tangent planes. Linear approximation: multivariable version The linear approximation for the function f of (x, y) is supposed to give a good approximation of how f behaves if we change x a little bit or we change y a little bit or both. When we start at a point (×0, yO) and…

CFA Level 2 – Quantitative Analysis, Session 3 – Reading 13 – LOS m (Practice Questions, Sample Questions) LOS m: Explain autoregressive conditional heteroskedasticity (ARCH), and discuss how ARCH models can be applied to predict the variance of a time series. 1. Which of the following is least likely a consequence of a model containing…

CFA Level 2 – Financial Reporting and Analysis, Session 7 – Reading 27 Evaluating Financial Reporting Quality-LOS f (Practice Questions, Sample Questions) 1. Junior analyst Xander Marshall sends an e-mail to his boss, Janet Jacobs, CFA, suggesting that Peterson Novelties is manipulating its results to artificially inflate profits. He cites four reasons for his conclusion: The…

Functions of two variables. Worked examples In this next example, we will sketch the graphs of three-dimensional functions. Sketch a graph of each function a)z=sqrt(x^2+y^2) b)z=x^2 So z here as a function of x and y. On this second one, z is also a function of x and y, it just happens not to depend…

CFA Level 2 – Ethical and Professional Standards, Session 2 – Reading 6 (Practice Questions, Sample Questions) 1. Preston Partners Case Study (Refer to CFA Institute Standards of Practice Casebook for details).Preston Partners is a medium-sized investment management firm which adopted the Code and Standards as part of its policy manual. Gerald Smithson, CFA, a…

CFA Level 2 – Portfolio Management, Session 18 – Reading 63 (Practice Questions, Sample Questions) 1. Gemini Investment Management Company (GIMC) assumes markets will remain at equilibrium indefinitely. GIMC defines security analysis as the examination of factors affecting the value of individual securities. GIMC defines asset allocation as the examination of factors affecting the optimal…

CFA Level 2 – Equity, Session 12-Reading 43 Free Cash Flow Valuation – LOS a(Practice Questions, Sample Questions) 1. Free cash flow to the firm valuation uses which discount rate? A) Weighted average cost of capital.B) After-tax cost of debt.C) Cost of equity. Explanation: (A) Free cash flow to the firm valuation uses the opportunity…

3D Line Strike Plane At point Q 0, the line is parallel to the plane. As time increases, the line intersects thenplane at point Q1, which is on the line because we have a parametric equation fornthe line (x = t, y = t2). We can use this equation to determine any point on the…