Dapper425

These are tricky, and there’s no guaranteed way to get them right, but I’ve found that drawing timelines for the inflows and outflows of cash flows (similar to an old FRA or swap calc) really helps me out.
Also ensures that the grader will give out max partial credit, I’d think.
Also, practice, practice, practice………..good luck.

mar350

nice, i thought i was the only one! guess you should detail out the process so you can get partical credit.

cjs238

Yeah, I’m having problems myself - and previous discussions here have kind of indicated that CFAI isn’t entirely clear.
Just keep inflation, taxes and WHEN the cash flows happen in mind. That is key.

Viceroy

its very difficult to get it right on. if is very easy to forget one little thing throuwing off the whole calculation.
they will be generous on part marks i assume though.

yuoska

Agreed. I don’t remember getting it correct even once