Right answer B but is it possible to do this in the BA II plus? I’ve tried but I get the wrong values. Can someone have a look please?
Question from online CFA question practice pack.
Right answer B but is it possible to do this in the BA II plus? I’ve tried but I get the wrong values. Can someone have a look please?
No fast way to do it. You have to discount each CF by its given spot rate. Here’s the first one:
P/Y=C/Y=2
2nd CLR TVM
1 N 1.6 I/Y 3 FV CPT PV -2.976190476 STO 1
Algebraically = 3/(1+ 0.016/2)^1
The other CFs follow a similar pattern and you can store each PV in memory and add them all up.