PRM Certification Changed 8002 Questions

PRM Certification - Exam II: Mathematical Foundations of Risk Measurement Questions and Answers

Question 13

Let f(x) = c for x in [0,4] and 0 for other values of x.

What is the value of the constant c that makes f(x) a probability density function; and what if f(x) = cx for x in [0,4]?

1/4 and 1/7

1/7 and 1/9

1/4 and 1/6

None of the above

Question 14

A linear regression gives the following output:

Figures in square brackets are estimated standard errors of the coefficient estimates.

What is the value of the test statistic for the hypothesis that the coefficient of is less than 1?

0.32

0.64

0.96

1.92

Question 15

Evaluate the derivative of ln(1+ x2) at the point x = 1

0.5

Question 16

Which of the following statements is true for symmetric positive definite matrices?

Its eigenvalues are all positive

One of its eigenvalues equals 0

If a is its eigenvalue, then -a is also its eigenvalue

If a is its eigenvalue, then is also its eigenvalue