LEVEL II PRACTICE EXAMS — VOLUME 2 How to Use the Level II Practice Exams... Practice Exam 1 Morning Session «0 Afternoon Session Practice Exam 2 Morning Session Afternoon Ses 101 Practice Exam 3 131 163 Morning Session einen ‘Afternoon Session. Practice Exam 1 Answers Morning Session os 192 Afternoon Session 1 205 Practice Exam 2 Answers Morning Session «nn -219 Afternoon Session 2 232 Practice Exam 3 Answers Morning Session... i - 246 Afternoon Session 261Tipic Area Guideline Tic Ara Weight Ethical and Professional Standaeds 10 0 15% ‘Quantitative Methods 510 10% Economica 510 10% Financial Reporting and Analysis 15 0 20% Corporate Finance 510 15% Pang oe 15 0 259% ‘Akemative Investments 540 10% Fixed Income 10 020% Derivatives 50 15% Portfolio Management 50 10% TOTAL 100% Expect she unexpected. Be prepared for difficult questions on unexpected topics. Only one thing is certain about the exam: you will be surprised by some of the questions. Guess ifyou must. It should take you approximately 18 minutes to read the vignette and answer the six questions that make up each item set. Don‘ fll behind: successful candidates know when to cut their losses by guessing and moving on. Try to eliminate one of the incorrect answers, and then pick one of the remaining choices. If you successfully eliminate one choice you know is wrong, you have a 50/50 chance of selecting the correct answer. There is no penalty for guessing. Be ready for more than just number-crunching. Yous reading comprehension ability is an importane component of success on the Level II exam. The vignettes will be long and fall of information. Your job is to focus on finding the important pieces of information and answering the questions correctly. ‘There are two approaches to these item sets. You can read the vignette first and then tackle the questions, or you can read the frst question and then go back to the vignette to find the daca needed to answer it. We recommend the second approach because it saves time and helps you to focus on he details you need. When taking the practice exams, experiment with both techniques and do what works best for you! Page iv (©2015 Kaplan, Ine.‘My thanks to the Sebweser team. would like to thank all of my colleagues at Schwesee for their incredible work ethic and commiemene to quality. Kaplan Schweser would not be the company itis, nor could it provide the products you see, without the help of these content and editing professionals. You may expect me to end this introduction with 2 "good luck on the exam.” However, you need not be lucky to pass Level II. With your hard work and our assistance, luck will have nothing to do with ic, Instead, I'll simply say, “See you nexe year at Level IIL.” Best Regatds, Besesh Talia Dr. Bijesh Tolia, CFA, CA VP of CFA Education and Level II Professor Kaplan Schweser (©2015 Kaplan, Inc Page w