HP 10bII - Page 57

Example: A Home Mortgage. You decide that the maximum monthly
mortgage payment you can afford is $930.00. You can make a $12,000
down payment, and annual interest rates are currently 7.5%. If you obtain
a 30 year mortgage, what is the maximum purchase price you can afford?
PMT = -930.00
End Mode
“ 356 | 357 | 358 mm
Set to End mode. Press БЖ if BEGIN annunciator is displayed.
Keys:
Ce
Go T]
OED
2000009
Display:
12.00
360.00
0.00
7.50
—930.00
133,006.39
145,006.39
Description:
Sets periods per year.
Stores the length of the
mortgage (30 x 12).
Pays mortgage off in
30 years.
Storcs interest rate.
Stores desired pay-
ment (money paid out
is negative).
Calculates the loan you
can afford with a $930
payment.
Adds $12,000 down
payment for the total
purchase price.
5: Time Value of Money Calculatlons 57