CFA Exam Calculator Tutorial (Multiple Cash Flow) Texas Instruments BA II Plus

[@IFT-CFA]

I've created an update version of the Texas Instruments BA II Plus Financial Calculator tutorial. This is a substantial improvement on the previous version because: 1) I now use a calculator simulator so you can see what buttons are being clicked and 2) I've added a few scenarios that were missing before. I'm confident that by going through this tutorial you'll learn all the calculator functions you need to know for the Level I exam. If you like the calculator tutorial please feel free to share with other CFA candidates

[@iampalvinderkour]

IFT thank you heartly please make a video on cheat codes to qualify cfa level 1

[@IFT-CFA]

Are you referring to a formula sheet? kzbin.info/www/bejne/r3qwhnSriZaIa6M

[@pakshalshah3195]

Respected team, Amazing video. In terms of explanation regarding the concept, it was very valuable. Thank you for such a great initiative. Can you please share setup file or link or something like this to download the calculator simulator in laptop.

[@christrotter7644]

Thanks for posting this. Watched several times over the years as a refresher.

[@IFT-CFA]

Glad it was helpful! IFT Support Team

[@NassraKhaled]

Extremely helpful series! Thank you so much for making this so accessible.

[@IFT-CFA]

Thank you. IFT support team

[@PANTHER123123]

How do you calculate NPV for uneven cash flows, with interest compounded semi-annually. Specifically, this relates to a similar problem of Q19, reading 6 on EOC questions in the curriculum. Thank you so much for your videos, they have helped so much. The presenter is excellent.

[@IFT-CFA]

Dear Student, Please refer to the following video for further assistance: kzbin.info/www/bejne/kIq4gZumjsSEepI IFT Support Team

[@MLeconometrics]

This is very helpful. Thank you very much.

[@IFT-CFA]

Thank you for your nice comments. We are glad that you find the videos helpful. IFT Support Team

[@sadman.saqib.zahin01]

Hi, thank you for the video. But can you please tell me how to calculate the the payment amount for partially amortized bonds using TI calculator?

[@pakshalshah3195]

Respected team, Amazing video. In terms of explanation regarding the concept, it was very valuable. Thank you for such a great initiative. Can you please share setup file or link or something like this to download the calculator simulator in laptop.

[@IFT-CFA]

Please visit this link for calculator tutorial videos: kzbin.info/www/bejne/ooWsZKysbJKDjtE IFT Support Team

[@sydneysawyier4494]

When calculating the present value of an ordinary annuity, why do you set the future value to zero? Thank you!

[@IFT-CFA]

Dear Sydney, An annuity is a series of equal cash flows, spaced equally in time. FV is 0 because there is no extra amount (above PMT) paid on the last payment date. IFT Support Team

[@GZ_2024_gsme]

I am using BA II PLUS and I always get a number that is off by 1~2. For example, the problem at 0:17, I would get 332.22 instead of 331; 1:22, 366.71 instead of 364.1; 5:37, -272.67 instead of -273.55. I tried a BA II PLUS professional and it doesn't have this issue. Why is this happening and does anyone else have the same issue?

[@IFT-CFA]

You may be making any data entry error. Otherwise it should give you correct answer using either of them, i.e. 331. IFT Support Team

[@krystal8528]

Thank you very much!!! Really helpful!!!

[@IFT-CFA]

You're welcome! IFT Support Team

[@devinkayne7615]

How is the number of periods 3 and not 2 at 6:33 ? you're given money at the end of year and year 2? Isn't that 2 periods instead of 3?

[@IFT-CFA]

Dear Devin, Number of period is set to 3 to accommodate for the payment that we receive at the end of year 2; because if we take n as 2 calculator will only give you PV for the payments received at the start of Y1 and at the start of Y2 only. IFT Support Team

[@rohithmaradapa6354]

Why do I get an FV of 302 instead of 331 for the first problem ?

[@Pakidesivlog]

HI, i AM trying to clear my tvm but it is nnot happening. any advise

[@IFT-CFA]

Since we want to prove that that means of NSE and NYSE are different, in null hypothesis we will assume mu1 - mu2 = 0 and in alternate, mu1 - mu2 ≠ 0. IFT support team

[@zaclukelee]

kzbin.info/www/bejne/fXecgZyHZsxqb5o Thank you for this. At time stamp 14:45, you are showing the calculation for unconventional cash flow, but we need to rmb there is a possibility of multiple IRR. By using your method, you run the risk of solving and letting a multiple IRR problem go undetected. Does the calculator inform you of the possibility of multiple IRR?

[@IFT-CFA]

If a negative CF occurs at the end of a project’s life, or if a sequence of cash flows has two or more sign changes, there may be multiple IRR solutions. The calculator displays the IRR closest to zero. However, the displayed solution has no financial meaning. Thus, you should use caution in making investment decisions based on IRR computed for a cash flow stream with more than one sign change. When you are solving very complex cash flow problems, the calculator may not be able to find IRR, even if a solution exists. When this is the case, the calculator displays ERROR 7 (iteration limit exceeded). IFT Support Team