Durbin-Watson statistic tests for:
โ Correct Answer: Option B
DW statistic near 2 = no autocorrelation. Near 0 = positive autocorrelation. Near 4 = negative autocorrelation.
๐ About This CFA Exam Prep Practice Question
This 3-level CFA Exam Prep question from the Quantitative Methods topic is part of BrainForge Quiz's free exam preparation library. Each question includes the correct answer and a detailed explanation to help you understand the underlying concept, not just memorize the answer.
How to use this page: Read the question above, consider all four options (A through D), then check the highlighted correct answer and explanation. For active timed practice, start a free CFA Exam Prep practice test or use flashcards for spaced repetition review.