HP 12c Platinum - Periodic Deposits and Withdrawals

42 Savings
Periodic Deposits and Withdrawals
This section is presented as a guideline for evaluating a savings plan when deposits and
withdrawals occur at irregular intervals. One problem is given, and a step by step method
for setting up and solving the problem is presented:
Example: You are presently depositing $50 and the end of each month into a local
savings and loan, earning 5 ½% compounded monthly. Your current balance is $1023.25.
How much will you have accumulated in 5 months?
The cash flow diagram looks like this:
12c platinum / 12C
RPN Keystrokes
12c platinum
ALG Keystrokes
Display Comments
g gÂ
fCLEARG fCLEARG
50ÞP 50ÞP
5.5gC 5.5gC
1023.25Þ$ 1023.25Þ$
5nM 5nM
1,299.22
Amount in account.
Now suppose that at the beginning of the 6th month you withdrew $80.
What is the new balance?
12c platinum / 12C
RPN Keystrokes
12c platinum
ALG Keystrokes
Display Comments
80- -80³
1,219.22
New balance.
PV
= - 1023.25
FV
= ?
-50-50-50- 50 -50
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