Counting Methods for Assigning Objects to Different Categories | CFA Level 1 Exam Preparation

Counting Methods for Assigning Objects to Different Categories

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You wish to count the number of ways in which n objects can be assigned to k different categories, with n_i members in the ith category. The counting method you should use is:

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The number of ways that you can arrange n objects so that there are n_1 of one kind, n_2 of another kind, and so on, up to n_k of a kth kind, is found by using the multinomial formula: n! / [(n_1)! * (n_2)! * ... * (n_k)!].