# HP 12C Platinum User Manual Page 14

Financial calculator.

14
Making Financial Calculations Easy
Keystrokes
M
Example 3: The preceding example showed that the insurance policy will
provide about half the required amount. An additional amount must be set aside to
provide the balance (21,396.61 – 10,371.79 = 11,024.82). Suppose you make
monthly payments, beginning at the end of next month, into an account that pays
6% annually, compounded monthly. What payment amount would be required in
order to accumulate \$11,024.82 in the 14 years remaining ?
Keystrokes
fCLEARG
14gA
6gC
11024.82M
P
Example 4: Suppose you cannot find a bank that currently offers an account
with 6% annual interest compounded monthly, but you can afford to make \$45
monthly payments. What is the minimum interest rate that will enable you to
accumulate the required amount ?
In this problem, we do not need to clear the previous financial data inside the
calculator, since most of it is unchanged from the preceding example.
Keystrokes
45ÞP
¼
:gC
This is only a small sampling of the many financial calculations that can now be
financial tool, just turn the page.
Display
Value of policy in 14 years.
10,371.79
Display
Clears previous financial data
10,371.79
inside the calculator.
Calculates and stores the number
168.00
of compounding periods.
Calculates and stores the periodic
0.50
interest rate.
Stores the future value required.
11,024.82
Sets payment mode to End.
11,024.82
Monthly payment required.
–42.03
Display
Stores payment amount.
–45.00
Periodic interest rate.
0.43
Annual interest rate.
5.13