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8007 Exam Dumps : Exam II: Mathematical Foundations of Risk Measurement - 2015 Edition

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Exam II: Mathematical Foundations of Risk Measurement - 2015 Edition Questions and Answers

Question 1

Find the roots, if they exist in the real numbers, of the quadratic equation

Options:

A.

4 and -2

B.

-4 and 2

C.

1 and 0

D.

No real roots

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Question 2

When a number is written with a fraction as an exponent, such as , which of the following is the correct computation?

Options:

A.

Take the square-root of 75 and raise it to the 5th power

B.

Divide 75 by 2, then raise it to the 5th power

C.

Multiply 75 by 2.5

D.

Square 75, then take the fifth root of it

Question 3

Your stockbroker randomly recommends stocks to his clients from a tip sheet he is given each day. Today, his tip sheet has 3 common stocks and 5 preferred stocks from Asian companies and 3 common stocks and 5 preferred stocks from European companies. What is the probability that he will recommend a common stock AND/OR a European stock to you when you call and ask for one stock to buy today?

Options:

A.

11/16

B.

7/8

C.

9/16

D.

None of these