Hi all, Can someone please help me with the below. If I invest 2,000,000 today at a rate of 1.14% for 10 years. I will have 2,240,059.16 at the end of the 10 years. Equivalent to receiving 10 payment of 24,005.94 How much would I need to invest at the same rates, to earn 74,000 per year, for 10 years?? Thanks : )

$695,642. Enter the following into your calculator:N = 10I = 1.14PMT = -74,000FV = 0Calculating PV should give you what you need. There's a formula as well you can use, but the calculator should suffice for what you need on the exam.

We have a calculator guide that may also be helpful for learning these functions:https://www.youtube.com/watch?list=UU8DNfSlObTQsdz0rOWB2-0A&v=Ehchb6Zvag0

A CFA Level 1 Discussion About Simple Annuity Question Driving Me Crazy!

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This topic has 2 replies, 3 voices, and was last updated Jul-188:04 am by PaulAdaptPrep.

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- AdaptPrep
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  21 Jul 2018 at 10:04 pm
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  $695,642. Enter the following into your calculator:
  N = 10
  I = 1.14
  PMT = -74,000
  FV = 0
  Calculating PV should give you what you need. There’s a formula as well you can use, but the calculator should suffice for what you need on the exam.
- PaulAdaptPrep
  Participant
  - Undecided
  22 Jul 2018 at 8:04 am
  Up
  4
  ::
  We have a calculator guide that may also be helpful for learning these functions:
  https://www.youtube.com/watch?list=UU8DNfSlObTQsdz0rOWB2-0A&v=Ehchb6Zvag0
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