Description about Texas Instruments BA II Plus Professional
It’s essential to know the calculator well in advance of the CFA exam. Check out the fundamentals of the Texas Instruments BA II Plus Professional.
The Texas Instruments BA II Plus Professional is a fairly easy-to-use financial calculator facilitating the study of many finance course. And of course, it is an inseparable thing to bring into the CFA exam. Thus, it’s worth your time and effort learning how to use this calculator effectively. The manual guide is comprehensive, and there’s no need to repeat it here. Thus, this writing will focus on other must-know info of this calculator and show you how to make the best out of it for the CFA exam.
Texas Instruments BA II Plus Professional features calculations to facilitate into solving the complicated equations. This calculator is an ideal tool for the courses relating to economics, investment, accounting, finance, and statistics.
Brand: Texas Instruments
Warranty from manufacturer: 1 year
Dimension: 172mm x 23mm x 248 mm (W x D x H)
Weight: 0.23 kg
Digit number: 10
Power: Battery (removable but not rechargeable)
- Natural Logarithms
- Cash Flow Analysis
- 32 uneven cash flows storing ability with 4-digit frequencies
- Ability to edit input to analyze the influence of changes in variables
- Calculating time value of money and amortization
- Availability of up to six methods for calculating depreciation, book value, and remaining depreciable amount
- Interest rate conversion
- One-and-two variable statistics
- Four regression options
The Texas Instruments BA II Plus Professional is under the approval for use in CFA exam and FRM exam. And according to the calculator policy of CFA Institute, you have to bring your own calculator and get it inspected by the examiners before the exam.
Initial setup for Texas Instruments BA II Plus Professional
This calculator has default setup with annual compounding, unlike other financial calculators, which has less optimal monthly compounding. This compounding default is hidden, and many people forget to set it to the correct assumption.
In other words, many people don’t realize the wrong answer; they just forge ahead. If you want to switch the compounding assumption, press 2nd, I/Y, and enter the number of periods per year. Then, press Enter, 2nd, and CPT to come back to the blank screen.
Also, this calculator displays two decimal places. Most of us want to use more, so if you want to change the number of decimal places, press 2nd à . à enter the number of digits you want it to display. Then press Enter, 2nd, and CPT to quit.
Tips for using Texas Instruments BA II Plus Professional in the CFA exam
Set Decimal Setting to “Floating”
In the initial setup, you know how to change the number of decimal places. But this tip is a little bit more than that. You can optimize your format features for the CFA exam. The setup is simple: 2nd à . à 9 à Enter. Of course, there are no nine places after the decimal, the maximum number of decimals that the calculator can display is actually eight.
However, nine is a floating decimal. It means that if you only need two places after the decimal on display, you will only get two places after the decimals. If you need seven, they will be there for you. This format makes the screen clearer because in the CFA program, sometimes you need a lot of accuracy after the decimal.
Change Chn to AOS
The Chn format demonstrates the chain order of operations. So whatever you type in your calculator, it will simply follow the order of the keystrokes that you have entered. For example, under Chn setting, 1 + 2 * 3 = 9.
However, with respect to the CFA exam, whether it is CFA level 1, CFA level 2 or CFA level 3, there are many calculations involving adding numbers in the numerator and dividing or using many exponents, especially when you use the discounting models. In other words, Chn is the least helpful format setting for the CFA program.
In other to reduce the need for brackets without affecting the accuracy of the result, using AOS is the ultimate tip you should now. The direction is pressing the down arrow four times à 2nd à Enter. AOS is Texas Instruments’ special Algebraic Operating System. And this system allows for the correct order of calculation.
Reset the calculator
What happens if you reset your calculator or replace the battery? During the exam, the proctors may pick up your calculator and reset it for you. We don’t know that that happens, but that’s the worst scenario, or maybe you inadvertently do it yourself.
So to reset the calculator to take it back to the mode when it’s straight out of the box, the direction is 2nd à Reset à Enter. Then, the calculator will ask if you want to reset by displaying “RST?”. If you hit the Enter button, you will end up resetting your calculator. To quit, press 2nd and CPT buttons respectively.
As you reset the calculator, the calculator will again display two places after the decimal. The calculator has reverted to the default. Thus, you then need to go back to the direction to set the decimal setting to floating and switch the Chn to the AOS.
Texas Instruments BA II Plus Professional FAQs
How to switch from comma to decimal point?
2nd à . à press the down arrows three times à 2nd à Enter
How to enter a negative number into one of the TVM keys?
Using the +/- key
How to edit the cash flow already entered into CF key?
Go back into the cash flow list by hitting the CF key, then use the up and down arrow keys to do the cash flow you want to change. When you complete your editing, press the Enter button.
Getting to know the Texas Instruments BA II Plus Professional before the CFA exam is a top-priority task. Also, ensure that you are familiar with the usage of this calculator when studying. Before the exam, double check the battery to make sure its smooth operation during the exam. This piece of writing hopefully helps your prep with this calculator a lot easier.