Q - 1

[FINDIS07]

Thanks raw
i always treat these type of questions using cash flow and not TVM
Cf0 = -100K
Cf1 = -100K F=5
Cf2 = 850K (950K - 100K for the yr end deposit that won’t generate any interest)
and just comp for IRR

 

[Poch213]

Hi Guys,
In the first question how comes you cant use BGN mode in the calculator?
I was hoping N=6 PMT=-100,000 FV=950,000 would work as the initial payment was made on day one.