HP HP10BII - HP 10 BII Net Present Value (NPV) Calculation

AMORTISATION
ColinCSmith2010
9
15.2. THEAMORTISATIONSCHEDULE–ORDINARYANNUITY
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Asforthescheduleat14.2thiswaspreparedusingMicrosoftExcel.
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Month Instalment Interest Capitalpaidoff CapitalBalance
today  100,000.00
1 R4,707.35 1,000.00 3,707.35 96,292.65
2 R4,707.35 962.93 3,744.42 92,548.23
3 R4,707.35 925.48 3,781.86 88,766.37
4 R4,707.35 887.66 3,819.68 84,946.68
5 R4,707.35 849.47 3,857.88 81,088.80
6 R4,707.35 810.89 3,896.46 77,192.34
7 R4,707.35 771.92 3,935.42 73,256.92
8 R4,707.35 732.57 3,974.78 69,282.14
9 R4,707.35 692.82 4,014.53 65,267.62
10 R4,707.35 652.68 4,054.67 61,212.95
11 R4,707.35 612.13 4,095.22 57,117.73
12 R4,707.35 571.18 4,136.17 52,981.56
13 R4,707.35 529.82 4,177.53 48,804.03
14 R4,707.35 488.04 4,219.31 44,584.72
15 R4,707.35 445.85 4,261.50 40,323.22
16 R4,707.35 403.23 4,304.12 36,019.10
17 R4,707.35 360.19 4,347.16 31,671.95
18 R4,707.35 316.72 4,390.63 27,281.32
19 R4,707.35 272.81 4,434.53 22,846.79
20 R4,707.35 228.47 4,478.88 18,367.91
21 R4,707.35 183.68 4,523.67 13,844.24
22 R4,707.35 138.44 4,568.90 9,275.33
23 R4,707.35 92.75 4,614.59 4,660.74
24 R4,707.35 46.61 4,660.74 0.00
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15.3 Amortisingthepaymentstocalculatetheamountofcapitalandinterestpaidandthebalanceattheendof
eachyear

Thisstepfollowsdirectlyonyourcalculationoftheinstalmentabove.

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Weenterthefirstfinancialperiodandthe
numberofpaymentsmadeinthatperiod.The
amortisation
functioncanbeforanyperiodbut
hereitisfora12‐monthperiod.
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Thisisforperiods1‐12
cCapitalpaidinyear1
dInterestpaidinyear1
eBalanceattheendofyear1

HP10BIIfinancialcalculator 
KEYS DISPLAY 

1INPUT12 12_
AMORT 1‐12
=‐47,018.47
c
= ‐9,469.73
d
= 52,981.53
e




Forthenext12months(periods13–24)




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fCapitalpaidinyear2
gInterestpaidinyear2
hBalanceattheendofyear2

HP10BIIfinancialcalculator 
KEYS DISPLAY 

AMORT 13‐24

=‐52,981.59
f
= ‐3,506.61
f
=‐0.06
h

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YOUCANCHECKTHESENUMBERSAGAINSTTHEAMORTISATIONSCHEDULEABOVE.
Year1 interest
R9,469.73
Year1 capital
R47,018.47
Year2 interest
R3,506.61
Year1 capital
R52,981.59