can anyone give me the formula they used to calculate the required return for q#13 ii
i know i learned this at some point but just can’t locate the formula ro calculate the required return with annual outflows
thanks in advance!
Q13 of what?
Usually these are done with the TVM function on the calculator. In the case of annual outflows, you’d have a positive PV, a negative PMT and negative FV.
Edit - Oh I see. Reading 8, EOC question 13.
N = 18 , PV = 1,235,000 , PMT = -26,000, FV = -2,000,000
CPT I/Y = 4.4274%