to find present value factor using BAII Plus

CFA Level I
#1

Hi Anyone know how to find present value factor for year 1, year 2 and so on by using BAII Plus? If so, would you please show me how? Say, discount rate is 2% for 5 years, how to compute the factors for each year? Thanks in advance

#2

i think you have to divide the payment by the present value, or vice versa and it will give you the correct PVIF. try it out and you will see the pattern.

#3

poor – Are you calculating just the present value of a single amount, or are you looking for the present value factors to calculate the present value of an annuity? If it is just the present value of a single amount, your factor is v = (1/(1+i))^n. So, in your example, we have: v = (1/1.02)^5 For the present value of an annuity, I would just use the function that is programmed on the BA. I suppose you could also memorize the formula for the pv of an annuity.

#4

this is a really good video on youtube, cant remember the name, just look it with PVM TI BAII plus

#5

Sorrry, i should have stated clearly. I am looking for a short cut which is being used to find PV factor with scientific calculator. In a scientific calculator, to look for DF@10% for 5 years, to press --> 1.1 / / = = = = = = will give the factors for each year from Year 0 to Year 5 ("/" is divide button) i would like to find the same trick in financial calculator.

#6

you cant do that in a BAII +