# Level I

## CFA Level 1 2020 - Zurich

Looking to form a study group with a few people in and around Zurich.

Main idea would be to study together, motivate one another and to have fun while we’re going for it.

## Elasticity of Demand

For a linear demand curve, at the price where elasticity is -2.0, reducing prices will:

A)

increase total revenue and we are not at the point of maximum total revenue.

B)

decrease total revenue and we are not at the point of maximum total revenue.

C)

increase total revenue and we are at the point of maximum total revenue.

## The Number of Annual Compounding Periods Needed for an Investment to Reach a Specific Value

You are interested in determining how long it will take an investment of
€10,000,000 to double in value. The current interest rate is 7 percent compounded
annually. How many years will it take €10,000,000 to double to €20,000,000?

So I basicly do:

PV = 10.000.000 // FV = 20.000.000 CHS // r = 7 // and ask my HP12C for N than I get 11

But the answer in the book is 10,24, what is happening? The result looks right to me, how its not 11 in the book?

ps: is the question example 19 in TVM, page 343, can somebody help, please?

Hi,guys. can anyone help me with the following question:

In 2015, a company undertook the following two transactions :

(1) Borrowed money from an insurance company and pledged some of its production facilities as collateral for the loan.

(2) Entered into an agreement with a local construction company to build a new research facility at a fixed price. Construction is to begin by 1 January 2016 and be completed by 31 December 2018.

Hi All,

## How Bad to Screw Up Time Value of Money Practice Questions?

So, I just recently started studying for L1.

When I was going through ethics I had no trouble with the end of chapter practice questions.

When I got to time value of money I had a really hard time memorizing the formulas and ended up getting a 55% on the end of chapter questions.

## Elasticity of Demand

If the price elasticity of demand is –1.5 and a change in the price of the product increases the quantity demanded by 4%, then what is the percent change in price?

A)

–0.375%.

B)

–6.000%.

C)

–2.667%.

## Study Plan

Study plan for June exam, considering someone starts studying from November.

## Question regarding retained earnings

Hi,guy, just wanna make sure which one of the following is correct:  （1）beginning retained earnings+ NI-Dividend paid=End retained earnings   (2）beginning retained earnings+ NI+contributed captial-Dividend paid=End retained earnings   Is it one of them correct or both？ Please help and thanks in advance.

## Preparation for L1 for June 2020 starting now by Wiley

Anyone interested to be study partner for L1 for June 2020 studying by Wiley by same study order of the curriculum, Kindly massage my through mail to moby0787@gmail.com