6.4 Cash Flow on the BAII Plus

You invested $1,000 and received $300 for the first 2 years at the end of each year. At the end of the 3rd year, you sold your investment for $800. The minimum Annual Rate of Return (MARR) is 14%.

Cash Flow diagram

But we will solve using the BAII Plus Calculator:

We will write this as:

CF0 = -1000
C01 = 300 F01 = 2
C02 = 800 F02 = 1

Your Own Notes