Sharp EL-738 Operation Manual page 27

3
You will pay $200 at the end of each month for the next three
years into a savings plan that earns 6.5% compounded quar-
terly. What amount will you have at the end of period if you
continue with the plan?
PV = 0
PMT = –$200
Procedure
Set all the variables to
default values.
Make sure ordinary annuity is set (BGN is not displayed).
Set the number of pay-
ments per year to 12.
Set the number of com-
pounding periods per
year to 4.
Quit the P/Y and C/Y
settings.
Calculate the total num-
ber of payments and
store in N.
Enter the present value.
Enter payment.
Enter the annual inter-
est rate.
Calculate the future
value.
Answer: You will have $7,922.19 at the end of the three-year
period.
Calculating future value
I/Y = 6.5% (quarterly)
×
N = 12
Key operation
. b
. w
i
s
3
. < N
0
v
,
6.5
@ T
. . . . . .
PMT = –$200
3 years = 36
12
Q
4
Q
200
u
f
FV = ?
Display
P/Y=
C/Y=
ANS~N
—~PV
(-2——)~PMT
-20000
6.5~I/Y
FV=
792219
000
1200
400
000
3600
000
650
26