Retirement Savings Account Problem (Future Value Of An Initial Deposit Or Lump Sum); Retirement Savings (Future Value Of Monthly Investment - Using Beginning Mode) - Calculated Industries 3430 User Manual

Retirement Savings Account Problem (Future Value of an Initial
Deposit or Lump Sum)
If you invest $50,000 today into an IRA with an 8% yield (compound-
ed monthly), what is the future value in 25 years? What will it be
worth in 30 years?
STEPS
Clear calculator
Recall payments/year*
Enter deposit into Loan Amt
(present value)
Enter Interest rate
Enter Term in years
Find future value
Enter new Term in years
Find new future value
*Calculator must be set to default of 12 periods per year, for compounding monthly. If
it isn't, enter 1 2 s ÷. If you need to set the calculator to compounded interest
other than monthly, enter the number of periods, then s ÷ (e.g., for interest com-
pounded quarterly, enter 4 s ÷).
Retirement Savings (Future Value of Monthly Investment —
Using Beginning Mode)
If you invest $500 per month at the beginning of each month in a
retirement plan that earns annual interest of 7% compounded
monthly, what is the future value in 20 years? 30 years?
Note: the calculator defaults to End of the Month Mode, so you must change it to
Beginning Mode.
STEPS
Access End Mode via Preference
Settings
Set to Beginning Mode
Clear calculator
Recall payments/year*
Enter monthly deposit
Enter annual Interest rate
Enter Term in years
Find value in 20 years
44 — Q
UALIFIER
KEYSTROKES
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s l
3 0 T
s l
KEYSTROKES
s =
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5 0 0 p
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P ® III
LUS FX
"run" 367,008.80
"run" 546,786.48
(press = seven times)
DISPLAY
0.00
12.00
50,000.00
8.00
25.00
30.00
DISPLAY
TYP END
TYP BEG
BEG 0.00
12.00
500.00
7.00
20.00
-261,982.70**
(Cont'd)