Personal Finance; Tax-Free Retirement Account (Ira) Or Keogh Plan; Stock Portfolio Evaluation And Analysis; Portfolio Beta Coefficient - HP 12c Platinum Reference Manual

164 Appendix B

Personal Finance

Tax-Free Retirement Account (IRA) or Keogh Plan

n = the number of years to retirement.
i = the compounded annual interest.
PMT = the total annual investment.
FV= future value, after applicable taxes.
r = the assumed tax rate on interest expressed as a decimal.
w = the withdrawal tax rate expressed as a decimal.
For ordinary taxable investment:
PMT
=
FV
(
i 1
For tax-free investment:
PMT
=
FV

Stock Portfolio Evaluation and Analysis

n = the number of issues held.
P = the current market price / share of a stock.
i
S = the number of shares of a stock held.
i
β = the beta coefficient of an individual stock.
i
T = the total present value of a portfolio.

Portfolio beta coefficient:

n
P
∑
i
=
β
=
i 1

Canadian Mortgages

r = annual interest rate expressed as a decimal.
monthly factor
{
[ ] [
( )
+ − +
1 i 1 r 1
)
−
r
[
( ) (
× −
1 w
) (
+ +
1 i 1
i
S β
i i
T

1 6 /
 
r

= +
 
1
 2
 

}
]
( )
n
− −
i 1 r 1
]
)
n
−
i 1


− ×
1 100

