HP 12C Platinum Owner's Handbook Manual page 60

62 Section 4: Additional Financial Functions
3. If the initial investment consists of more than one cash flow of the amount
entered in step 2, key in the number of those cash flows, then press ga.
If ga is not pressed, the calculator assumes that N
4. Key in the amount of the next cash flow, press Þ if that cash flow is
negative, then press gK. If the cash flow amount is zero in the next
period, press 0gK.
5. If the amount entered in step 4 occurs more than once consecutively, key in
the number of times that cash flow amount occurs consecutively, then
press ga. If ga is not pressed, the calculator assumes that N
for the CF just entered.
j
6. Repeat steps 4 and 5 for each CF
entered.
With the amounts of the cash flows and the number of times they occur
consecutively stored in the calculator, NPV can be calculated by entering the
interest rate and pressing fl, just as described earlier.
Example: An investor has an opportunity to purchase a piece of property for
$79,000; and he would like a 13½% return. He expects to be able to sell it after
10 years for $100,000 and anticipates the yearly cash flows shown in the table
below:
Year
1
2
3
4
5
Since two cash flow amounts ($10,000 and $9,000) are repeated consecutively,
we can minimize the number of storage registers required by using the method
just described.
Keystrokes
fCLEARH
79000ÞgJ
14000gK
11000gK
10000gK
and N until all cash flows have been
j j
Cash Flow Year
$14,000 6
$11,000 7
$10,000 8
$10,000 9
$10,000 10
Display
Clears financial and storage
0.00
registers.
–79,000.00 Initial investment (with minus sign
for a negative cash flow).
14,000.00 First cash flow amount
11,000.00 Next cash flow amount.
10,000.00 Next cash flow amount.
is 1.
0
is 1
j
Cash Flow
$9,100
$9,000
$9,000
$4,500
$100,000