# Sharpen Your Knowledge with PRMIA (Mathematical Foundations of Risk Measurement :II) Certification Sample Questions

CertsTime has provided you with a sample question set to elevate your knowledge about the PRMIA Mathematical Foundations of Risk Measurement :II exam. With these updated sample questions, you can become quite familiar with the difficulty level and format of the real Mathematical Foundations of Risk Measurement :II certification test. Try our sample PRMIA Mathematical Foundations of Risk Measurement :II certification practice exam to get a feel for the real exam environment. Our sample practice exam gives you a sense of reality and an idea of the questions on the actual PRMIA Mathematical Foundations of Risk Measurement certification exam.

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## PRMIA Mathematical Foundations of Risk Measurement :II Sample Questions:

What is a Hessian?

The bisection method can be used for solving f(x)=0 for a unique solution of x, when

When calculating the implied volatility from an option price we use the bisection method and know initially that the volatility is somewhere between 1% and 100%. How many iterations do we need in order to determine the implied volatility with accuracy of 0.1%?

An option has value 10 when the underlying price is 99 and value 9.5 when the underlying price is 101. Approximate the value of the option delta using a first order central finite difference.

Newton-Raphson iteration is used to find a solution of x5 - x3 + x = 1. If xn = 2, what is xn+1?

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