Texas Instruments BA II PLUS User Manual page 49

• Internal rate of return (
present value of the cash flows is equal to 0.
Computing NPV
Press ( to display the current discount rate (
1.
2. Key in a value and press !.
Press # to display the current net present value (
3.
4. To compute the net present value for the series of cash flows
entered, press %.
Computing IRR
Press ). The
1.
the current cash-flow values).
To compute the internal rate of return, press %. The calculator
2.
displays the
When solving for
iterative calculations that can take seconds or even minutes to complete.
The number of possible
changes in your cash-flow sequence.
• When a sequence of cash flows has no sign changes, no
exists. The calculator displays
• When a sequence of cash flows has only one sign change, only one
solution exists, which the calculator displays.
IRR
• When a sequence of cash flows has two or more sign changes:
– At least one solution exists.
– As many solutions can exist as there are sign changes.
Cash Flow Worksheet
) is the interest rate at which the net
IRR
variable and current value are displayed (based on
IRR
value.
IRR
, the calculator performs a series of complex,
IRR
solutions depends on the number of sign
IRR
.
Error 5
).
I
).
NPV
solution
IRR
45