Time Value of Money Calculations on the BA II Plus Calculator

IMPORTANT: Please set P/Y =1 and C/Y = 1 for the examples in this video:
Press 2nd P/Y (I/Y) = 1 ENTER, 2nd QUIT (CPT)

For examples that require changing P/Y and C/Y, please see the following playlist:

Problems Solved (Compiled by Andrew Rossman):
Example 1: Laura takes a 15-year, $500 000 mortgage, on a new condo. At an interest rate of 4% (that is compounded monthly), what is the monthly payment?
Example 2:Helene is planning ahead for her daughter Paula’s college tuition. Paula begins college in 5 years and will need $80,000. How much would Helene have to invest today at 6% compounded annually to have $80,000 in 5 years?
Example 3: Josh has an investment account with $50,000. If Josh earns 6% per year and contributes $400 each month, how much will his investments be worth in 10 years?
Example 4: Steven has $25,000 in credit card debt. His credit card charges 2% in monthly interest and Steven pays $1,000 each month toward the balance. If Steven doesn’t make any further purchases, how many months will it take to fully repay his debt?
Example 5: Martin’s savings account has $25,000 today. In 5 years, the account is worth $32,000. What is the annual interest rate?

00:00 Intro
01:24 Ex1-Find Payment
03:11 Ex2-Find PV
04:19 Ex3-Find FV
05:27 Ex4-Find N
06:23 Ex-5-Find I/Y

[joshuajonme]

Great video, but there is an error in example 3. Since payments are made monthly while interest is compounded annually (i.e. payments are more frequent than interest), the annuity is nominal. This problem cannot be solved using the calculator if P/Y isn't changed.

[GavinVox]

This is amazing. I spent hours watching my instructor's online lectures on this, and was banging my head against the wall trying to understand this. It was hopeless. You explained it in very simple terms in less than 10 minutes, and now I actually stand a chance on my upcoming exam. I cannot thank you enough.

[dakotapoore]

Pays thousands for college. Gets taught by Joshua Emmanuel for free on youtube. You are a blessing sir.

[tylermullery]

learn easier and faster here than I do paying for my college degree

[meenasalih]

Omg thank you so much I was trying to learn to use the calculator while trying to solve these to understand for the exam and you took the time to save me from frustration, THANK YOU!😩

[gino]

You explained this better than the multiple CFA prep providers i've paid hundreds of dollars for, thank you!

[EssaysCollege]

For the first calculation I did exactly what you said on my BA II and I came up with a monthly payment of -$2, 848.19

[MZtaeyeon]

What the hell ! You help me with one problem that has been haunting me forever ! CLR TVM !

[shellywheeler]

Thank you for showing the basics-enter your values then select CPT, then what your solving for i.e.PMT. Ugh this calculator has been driving me crazy! Thanks to you I'm solving problems without any issues!

[TheKarver]

Thank you so much for this tutorial! I'm taking financial management while in an MBA and this helped me so fast and easier than I'd think. Thank you again 😊🙏🏽

[kyikyiwinkyikyiwin]

today my teacher teach in the class i nearly give up, i found this then i happy to do my finance course. i really appreciate Joshua.

[patriciapvn]

Thank you for the video. You explain it very thoroughly. I learned extensively from this video more than my college professor explained it. Thank you!!

[hugoender]

Amazingly clear and concise examples! If only all the youtube video tutorials were this great. Thanks a ton! By the way, your voice and accent are awesome and make this video even better!

[reginaldhardaway]

You are a great teacher. I didn’t understand any of my college instructions but I understood yours. Thank you.

[nitanice]

thank you for the simple, straight-forward instruction!

[lucidxchrist]

You’re a life saver. I’m my finance course my professor was teaching us how to use the financial calculator and she was way too fast. So I YouTubed it abd man you’re literally a life saver

[kevintanyagiles]

Awesome video! I tried following a different one and I think that presenter just wants to be a YouTube star. This was super helpful. Thank you!

[MemeBaz]

Thank you Joshua, this video helped me immensely. You touched on many points that really clarified everything for me. I sent it to my professor so he could share it with my graduate finance class. The way you include the calculator and show which buttons to press in order to get the answer is absolutely golden. Subscribed!

[crustychips]

omg i had the p/y set to 52 for like 2 weeks and i wondered why i could never get the right answers in class, this video saved me!

[praveenswaroop]

Thank you Joshua for explaining in such an easy & clear way.