Page 11 - FINAL CFA SLIDES JUNE 2019 DAY 2

LOS 6.e: Calculate and interpret the FV & PV Session Unit 2: The Time Value of Money
of a single sum of money, an ordinary annuity,
an annuity due, a perpetuity (PV only), and a
series of unequal cash flows.

FV of an Annuity Due

Set TI to BGN mode. To switch between the BGN
and END modes, press:

[2nd] [BGN] [2nd] [SET]. ‘

’BGN’’ is Displayed,

then [2nd] [QUIT].

Always have TI on ordinary annuity (END) mode, so remember to use above to switch back to END
mode (nothing displays in the upper right corner of the display window when the TI is set to the END
mode).

Alternatively, FVAD = FVAO × (1 + I/Y)