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NPV
NPV
NPV
NPV
Calculating
Calculating
Calculating
Calculating
for Grouped Cash Flows.
for Grouped Cash Flows. A maximum of 20 cash flow
for Grouped Cash Flows.
for Grouped Cash Flows.
(in addition to the initial investment
problems involving more than 20 cash flows
equal consecutive
flows there are
along with the amounts of the cash flows the number of times — up to 99 — each
amount occurs consecutively. This number is designated
amount CF
, and is entered using the a key. Each
flow
j
register inside the calculator.
This method can, of course, be used for problems involving fewer than 20 cash
flows — and it will require fewer storage registers than the method described
above under Calculating
can
flows
be entered using that method — provided there are enough storage
registers available to accommodate the total number of individual cash flows. The
facility of grouping equal consecutive cash flows is provided to minimize the
number of storage registers required.
Note:
Note:
Note:
Note:
When entering cash flow amounts — including the initial investment
CF
— remember to observe the cash flow sign convention by pressing Þ
0
after keying in the amount for a negative cash flow.
In summary, to enter the amounts of the cash flows and the number of times they
occur consecutively:
1. Press fCLEARH to clear the financial and storage registers.
2. Key in the amount of the initial investment, press Þ if that cash flow is
negative, then press gJ. If there is no initial investment, press 0gJ.
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
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
just entered.
6. Repeat steps 4 and 5 for each
entered.
With the amounts of the cash flows and the number of times they occur
consecutively stored in the calculator,
interest rate and pressing fl, just as described earlier.
*
If you have stored a program in the calculator, the number of registers available for storing
cash flow amounts may be less than 21.
Section 4: Additional Financial Functions
Section 4:
Additional Financial Functions
Section 4:
Section 4:
Additional Financial Functions
Additional Financial Functions
CF
) can be stored in the hp 12c.
0
can
cash flows. For such problems, you merely enter
NPV
for Ungrouped Cash Flows. Equal consecutive cash
CF
and
j
NPV
can be calculated by entering the
be handled if among the cash
N
, corresponding to cash
j
N
is stored in a special
j
N
is 1.
0
N
is 1 for the
j
N
until all cash flows have been
j
61
61
61
61
amounts
However,
*
CF
j
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