Keystrokes Display Description
Clear all memory.
1. (OS) (C ALL) 0.00 Clears Time-Value-of-Money
worksheet.
2. (65000) (FV) 65,000.00 Enter $65,000 as the future
value.
3. (18) (N) 18.00 Enter the number of periods
of 18 months.
4. (15) (I/Y) 15.00 Enter the annual interest rate
of 15%.
5. (PV) -51,975.99 Computes the present value
deposit needed to accumulate
to $65,000 in 18 months
assuming 15% annual interest
compounded monthly.
Note: The display in step 5 has a negative sign because it represents a cash outflow (investment) today.
E. Calculating the future value of a lump sum amount:
Example: If John invests $1,850 today in an asset earning a 10% rate of return (compounded
annually), how much will he have after two years?
Keystrokes Display Description
Clear all memory.
1. (OS) (C ALL) 0.00 Clears Time-Value-of-Money
worksheet.
2. (1) (OS) (P/YR) (C) 0.00 Sets the frequency of
compounding to once per
year and clears the register.
3. (1850) (PV) 1,850.00 Enter $1,850 as the present
value.
4. (2) (N) 2.00 Enter the number of periods
of 2 years.
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