Given a 10% discount rate, does the present value of the cash flows
exceed the original cost of $23,000?
To
Set all variables to defaults.
Enter interest rate per cash flow
period.
Enter 1st cash flow.
Enter 1st cash flow period.
Compute present value of 1st cash
flow.
Store in
.
M1
Enter 2nd cash flow.
Enter 2nd cash flow period.
Compute present value of 2nd
cash flow.
Sum to memory.
Enter 3rd cash flow.
Enter period number.
Compute present value of 3rd
cash flow.
Sum to memory.
Enter 4th cash flow.
Enter period number.
32
Press
& }
!
-
10
5000
,
1
% .
D
7000
,
2
% .
D H
8000
,
3
% .
D H
10000
,
4
Time-Value-of-Money and Amortization Worksheets
RST
I/Y=
S 0
FV=
N=
PV=
1
S 0
FV=
N=
PV=
1
S 0
FV=
N=
PV=
1
S 0
FV=
N=
Display
0.00
10.00
-5,000.00
1.00
4,545.45
4,545.45
-7,000.00
2.00
5,785.12
5,785.12
-8,000.00
3.00
6,010.52
6,010.52
-10,000.00
4.00