CFA考试资料Kaplan Exam Qbank L2（考友版）Checkpoint Exam 1 (Study Sessions 2-8).pdfVIP

CFA Level II Questions #1-6 of 42 Questions 1–6 relate to Goldensand Jewelry, Ltd. Introduction CFA/FRM studying materials,WeChat:musiq1237 Rajesh Singh is the CFO of Goldensand Jewelry, Ltd, a London-based retailer of fine jewelry and watches. Singh has noticed that the price of gold has begun to increase. If economic activity continues to pick up, the price of gold is likely to accelerate its rate of increase as both the level of demand and inflation rates increase. Implications of Rising Gold Price Singh has become concerned about the cost implications for Goldensand if gold prices continue to rise. He has requested a meeting with Anita Biscayne, Goldensands COO. In preparation for the meeting, Singh asked one of his staff, Yasunobu Hara, to prepare a regression analysis comparing the price of gold to the average cost of Goldensands purchases of finished gold jewelry. Hara provides the regression results as shown in Exhibit 1. Exhibit 1: 1979–2009 Annual Data (31 Observations) Variable Coefficient Standard Error of the Coefficient Intercept 11.06 7.29 Cost of gold 2.897 0.615 standard error of the forecast = 117.8 Exhibit 2: Partial Students t-distribution Table Level of Significance for One-Tailed Test df 0.100 0.050 0.025 0.010 0.005 0.0005 Level of Significance for Two-Tailed Test df 0.200 0.100 0.050 0.020 0.010 0.001 29 1.311 1.699 2.045 2.462 2.756 3.659 30 1.310 1.697 2.042 2.457 2.750 3.646 31 1.309 1.696 2.040 2.453 2.744 3.636 Reviewing the regression results, Biscayne becomes concerned about the implications for the cost of finished jewelry to Goldensand if the price of gold continues to rise. To remain profitable, the cost of finished jewelry should not exceed $2,000. Regression Concerns Overall Concerns Singhs principal concern about the regression is whether the ti