AuthorTopic: Time value of money question
@2014-04-24 16:35:04
First up, hey to everyone on analyst notes. I'm getting started on my CFA study and hope it'll be a rewarding one.

I've got a question regarding the Texas BA2+ calc with regards to a TVM question, it goes

Bank accepted bill has a yield of 5%, Face value $500,000, 90 days to maturity (out of 365)

The values I put in are FV=500k, I/Y 90/365x5, N=1, that gives me the correct answer.

If I put in FV=500k, I/Y=5%, N=90/365, I get the wrong answer.

Anyone knows why? Thanks a lot

CFA Discussion Topic: Time value of money question

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I used your notes and passed ... highly recommended!