BA II Plus - Ordinary Annuity Calculations (PV, PMT, FV)

Using the Texas Instruments BA II Plus calculator, we solve 2 ordinary annuity problems -simple and general. Future Value and Present Value for simple and general annuities.
Calculating Bond Price: • Calculating Bond Value...
Solving Simple Annunity problems in Excel: • Annuity Calculations i...
General Annuities in Excel -Calculating FV & PV: • General Annuity Proble...

[@seanoguy]

you are the best man, got me through 2 years of finance classes and counting!

[@anuruprao2056]

Thank you, Mr Joshua. This was my first tutorial on How To Use a Financial Calculator and I've comprehended it easily.

[@77mardi]

Thank you for this video and all the videos you post. Your videos are a huge blessing to me and many MBA students.

[@bumpyfaceclemons]

thank you so much it took forever to find someone who I could actually understand explained the basic functions of this calculator

[@BoJanglez333]

Very nice video, explains very well. I went in with no knowledge on how to use this calculator and now I have a great understanding! Thanks a ton

[@Nykkiable]

Thank you so much, Mr. Emmanuel! I have felt so stupid all year in my finance class because I never get any of the correct answers. Since you taught me how to change the P/Y and C/Y to fit the scenario, I've had no trouble. :| My finance teacher said to never touch those buttons because they are "too confusing". I seriously wonder how he ever gets any of the answers.

[@jend7631]

thank you so much for the simple but effective tutorial :) your videos are the best amongst all, now i feel like i can pass my exams!

[@aqilahlotffi]

Thank you for making my life a lot easier you're definitely so much better than my lecturer!

[@deannakasberg7480]

I can't thank you enough. You saved me a ton of time!

[@unknown8088928]

Dude these videos are a lifesaver. I wish you taught my class.

[@boobookitty5211]

Your video helped me at a very crucial point in my Finance class. Thanks for your desire to help those still learning. Kudos to you!

[@qwerty-cu6gv]

This was recorded 1 month before the 2014 world cup. This guy probably supported Cameroon, ghana, or nigeria

[@user-ek7fq8rw6z]

@@qwerty-cu6gv why does that matter at all?

[@inesarce2420]

Needed this! So simple to follow.Thank You

[@johnryan5421]

Excellent explanations. Thank you. I'll be reviewing many of your other videos as well.

[@EdGein_]

Very informative and helpful. Thank you very much!!

[@adithyak356]

Thanks for the insightful examples. They helped me understand the process easily

[@Victoria_JV]

Thank you Joshua! Very helpful!

[@mobiusloop339]

Extremely helpful. Thank you very much!

[@caidu0524]

Thank you brother. Really appreciate your videos!

[@richardschank7624]

I find that if I multiply the 'n' by whatever (quarterly, etc.) and divide the interest rate by whatever (monthly, etc.) I generally get the correct answer - but on this question that doesn't work. So my question is on a general annuity when the p/y and c/y are different, is it necessary to use the p/y and c/y entries? It appears to be so.

[@clkasozi2954]

Thanks Emma. Much appreciated

[@joshuamoore8042]

Great video!

[@naomikeeling9166]

Thank you so much for a clear example.

[@heidylee185]

Thank you very much Joshua! I’m taking an online course, but it really didn’t teach me how to use a calculator 😭 your video is awesome 😁👍

[@djwigglz9087]

Joshua! Helping me to pass the CFA exams. If we ever meet I'll be happy to buy you a beer!

[@JoshHenry98]

I had him as a professor in college, he’s amazing!

[@arunanandakumar9831]

Thanks, all your videos are very easy to follow.

[@mzgemini0006]

You are a sweetheart!!! Thanks so much!!! I should be good going into my next exam! whomp whomp

[@adrianrodriguez7721]

You’re the best person on this earth thank you so much

[@narilee3407]

Love your tutorials.

[@karthikkatragadda4120]

Big thank you man! You saved me so much time.

[@anandasubramaniancp1687]

Appreciate it very much. Clear and easy to understand

[@1jonasace573]

Great breakdown thank you. So much you are my go to guy.

[@nokubongazondi834]

Thank you very much for this video.

[@MsEm089]

thank you, was really helpful

[@BMSHEALTHANDFITNEZZ]

TY Joshua - well done and super helpful.

[@juliaolivia4135]

thank you soooo much!!! cramming for exams and this is gold 💖

[@dianaalvarez9600]

you are an excellent instructor

[@kulwinderkaur5496]

really appreciate your knowledge

[@horacioramirez6587]

Hey man, you're the best!

[@joshemman]

Hey, thanks!

[@utujecleopatra3450]

Thank you so much had a test tomorrow am I really had no idea what to do bless you

[@jiayuwei4501]

thank you so much!!! This video really helps me a lot!!!!

[@cegaraujo]

Hi there, great vídeo. Thanks for sharing. Curiosity: how do you Record? Could you tell? Was there calculator recorded previously? Thanks in advance.

[@infinitepaintingcleaning8289]

Thank you so much for sharing!

[@FlySafe1000]

Thanks a ton for these videos and explaining everything; perfect Sir.

[@joshemman]

Most welcome!

[@demmonring]

thx Joshua ! but i have a question for the 2nd exp. If we enter in the calculator P/Y = 4. why do we need to say that N=50 ?, it shouldn t be only 12.5 as it will compute quarterly ?

[@joshemman]

N = Years x P/Y

[@richardschank7624]

@@joshemman I understand why Elyes has the question. In a prior video you said the p/y is the payment periods, so that would imply that the 'n' in adjusted by the calculator for number of periods. If 'n' always has to be adjusted manually for the number of periods, why do we have to enter p/y times the number of years? It may just be a function of the BA 2 calculator.

[@AndreiGuevorkian]

Hey Joshua, you know how when you say 3.2% compounded monthly, one method to solve it (without using P/Y or C/Y) is to divide 3.2 by 12 and use that as your I/Y (also changing N accordingly). Why do we do that? Why can't I use 3.2 and find its effective rate (per year) and use that value as I/Y, and keep everything in terms of years?

[@joshemman]

You can do that for sure. See kzbin.info/www/bejne/p4ncdGyJqbh3jKs

[@tarancovers7547]

Thanks Mr.Emmanuel

[@rileighdye498]

Thank you so much!

[@kofikoranteng1447]

Thank you very much!

[@susyhu4973]

thank you so much it is really helpful because my baii plus get some wrong so I always get the wrong answer for my questions, now I can get ture answer.

[@nashikotohettynelumbu8137]

Thank God I found you

[@Gurjotbuall47]

Thankyou so much for such video it was so helpful...

[@joshemman]

My pleasure 😊

[@joshuafancher3111]

thanks for your tutorial

[@NK2651]

You the best!

[@shushivick]

Hi Joshua! I am pressing likes to all your videos! Do you have a video for growing annuity and perpetuity coming up??

[@user-yn9tq4ih9y]

really wish you could be our teacher for finance

[@thariq__rafiq]

Thank you !

[@carolye6335]

Hi Joshua Emmanuel, Thanks for your video. what equation can we use instead of financial calculator? Is that PV =CF/R*(1-1/(1+R)n). R=7.5/2 N=12.5*4 The answer I calculated is different with 8096.11 Please advise.

[@ahmedsurajuddin967]

Dear joshua on your last example i didn't change the P/Y nor the C/Y, this is what i did ,i converted every thing to a simple annuity FV=0 pmt= $250 N=50 quarters ( 12.5 * 4) ( converted 7.5 nominal with semiannual compounding to effective = 7.640625% , which is basically the one time compounding rate . I then divided that by 4 to get the quarterly rate or the periodic rate) I/Y= 1.91015625 but I am getting PV = $8006.366 and you are getting PV = $8096.11 I am guessing while I divided by 4 to find the periodic rate........> 7.640625%/4 = 1.91015625 % what you basically did is taken the 4th root to find the periodic rate .......> 4th root (7.640625%) = 1.8577439% who is correct ??

[@vatsalshah5797]

same here

[@conniesettles961]

Thank you so much.

[@AnkushRattan]

THANKS x 1,000,000!!

[@Clifffffffffford]

Thanks!

[@rosie9075]

Thank you!!!

[@thulanimthembu7182]

Perfect.

[@kal_mondo8647]

Thank you

[@caribbeanqueen1389]

Helpful for basic questions. Not intermediary questions.

[@zhiqiaojiang5338]

thank u sooooooo much for sharing

[@msledezma67]

Hi Emmanuel, I have a question. I have the following problem & I'm trying to figure out if I'm inputting the correct C/Y & P/Y. Suppose that you are the manager of a newly formed retirement funds. You are to set up a series of semiannual payments to accumulate a sum of $1,000,000 in ten years. You assume that the appropriate interest rate for the period is 6% annual, compounded semiannually. The first payment into the fund will be made 6 months from today and the last payment will be at the end of the tenth year. Is C/Y & P/Y both 2?

[@joshemman]

Yes!

[@alarconblog]

1. Where did you get the windows app? 2. do you knoow how to solve the 2nd example using excel? It worked for me on the calculator, but I would like to know how to do the same thing in excel if the number of compounding periods is different from number of pmts. great video.

[@joshemman]

In Excel, you can use =PV(Rate,N,PMT) where Rate = (1+.075/2)^(2/4)-1, N=50, PMT=250. That is, Rate = (1+ (I/Y)/100/(C/Y))^((C/Y)/(P/Y))-1

[@udaypullela8098]

Hi Joshua, How do I clear off the P/Y and C/Y data after computation? or how do I reset it to the default value?

[@joshemman]

P/Y and C/Y can both be set to 1 by pressing 2ND I/Y (P/Y), then 2ND CE|C (CLR WORK).

[@wasifshabbir2432]

it took me 20 seconds to solve the whole sum using my fx 82 es plus

[@user-ck5kt1ci6k]

woah what tell me how please

[@MegaSparkle07]

Question: for example 2 , why didn't you multiply 7.5 by 2 to get the annual rate?

[@justahuman9445]

thank you

[@shahparallawala1929]

thanks a lot this was super helpful!

[@joshemman]

***** Glad you found it helpful Shahpar.

[@shahparallawala1929]

Joshua Emmanuel hey Joshua I had one more question. Is it possible to calculate a simple annuity via the BA2Plus? I cannot find any help regarding this matter. Ill give you an example of a question on my practice exam that I am unable to solve without formulas. Beginning three months from now, you want to be able to withdraw $2,300 each quarter from your bank account to cover tuition expenses over the next four years. If the account pays .65 percent interest per quarter, how much do you need to have in your bank account today to meet your expense needs over the next four years? If you could post an video of how to do simple annuities via BA2Plus that would be very much appreciated. Thanks for your help and time!

[@joshemman]

***** Please find the solution here: kzbin.info/www/bejne/foLNYXmQnruLoMk

[@Benith55]

Hello, thank you for your video, can I ask you why are you multiplying N(5) by 12 because you already set up in P/Y = 12 ? Thanks

[@carlosraico3536]

I consider it just be N=5, I dont know why he multiplies by 12

[@michaelpriest748]

thanks

[@jc1068]

Are there any videos or examples of ordinary annuities available that includes using a discount rate?

[@joshemman]

Discount Rate = Interest Rate

[@jc1068]

Thanks!! Your videos are awesome...extremely helpful!

[@BOSSFinancial]

Ty

[@raghavmodi7709]

Very helpful..

[@NorazlyBasarian]

Good job

[@tajindersohi4373]

Thank yiu so much

[@TheSuperPlaysAwesome]

When this video explained it better than your professor

[@evelynburgos7539]

Is compounded monthly like APR? for example like a car

[@bryanh2618]

Why is the result different when the PMT is negative vs when the PMT is positive? Thank you in advance for the kind help!

[@bryanh2618]

Ah so the result should be the same just with - or without -?

[@joshemman]

@@bryanh2618 You nailed it Byan. Money is going in or coming out. If it goes in negative, it comes out positive, and vice versa.

[@bryanh2618]

@@joshemman Ic ic, thank yuu!

[@akashdeepatwal]

Thanku 😊

[@shaikhamajharulislam]

in the Second example you took I/Y 7.5% is that correct?

[@nguyentuananh6049]

How to download the BAII illustration embedded to the screen bro?

[@BrutusFanboy12345]

If we set c/y and p/y to 12, then why do we also need to multiply n by 12?

[@joshemman]

Because that's how the calculator is designed to work.

[@WelfareInc.]

Genius

[@ritugoswami6936]

Hi sir could you plz upload one another video of discounted payback period

[@Awesomousprimo]

Hi I hope someone can help me out here. I'm trying to solve Example 2 without using P/Y and C/Y method, but can't seem to figure it out. Can anyone please help me out?

[@samakhan7388]

why do we put negative for payments?

[@dylanloo9856]

He explained that money is going out, so you are losing money. That's why it's negative

[@MA-yz7ef]

What will the adjusted value of 7.5 be?

[@joshemman]

What do you mean by "adjusted"?

[@MA-yz7ef]

@@joshemman i meant according to the number of periods

[@joshemman]

@@MA-yz7ef I still don't undertsnad you. Put your question in a full sentence.

[@williamwang492]

i love you

[@madarah3163]

why is the future value 0?

[@joshemman]

The future value is set to zero for loans becasue we expect the loan to be paid up at the end.

[@dblog]

Why am I getting 5,608.623 as my answer... arrgghhh N= 50 I/Y= 7.5 / 2 PMT = -250

[@vatsalshah5797]

same here

[@willgd]

Why am I paying for college when Joshua is free

[@varunshahvo-tv9854]

Semi annual compounding so why take 7.5% ...u should take 7.5/2= 3.75%

[@greatnes]

If that is the approach you use, you should watch this video instead: kzbin.info/www/bejne/p4ncdGyJqbh3jKs

[@user-zx6rk6vv5b]

「動画の音が良くない」、

[@drewnovak1821]

Thank you!

[@umarsvideos2715]

thanks