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HP 20b Business Consultant - Page 60

HP 20b Business Consultant
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Cash Flows
60
Table 5-3 NPV and IRR Menu Items
Item Description
Total=
The sum of all the cash flows, equivalent to NPV if Inv.
I% is
0
.
R
IRR%=
Internal rate of return. This is the discount rate for the
cash flow that returns a Net Present Value of
0
.
See Table 5-4 for an example of the NPV and IRR functions using the cash flow
example in Table 5-2. Press P and R to open the menus. At
Inv. I%
, key in
a number followed by I. Scroll through the menus by pressing > or
< repeatedly. The example below is shown with RPN as the active operating
mode.
Table 5-4 NPV and IRR Example
Keys Display Description
P
Opens NPV menu starting with current
value of
Inv. I%
.
10.
5I
Inputs
10.5
as current Inv. I%.
<
Scrolls to current value for NPV.

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