Cash Flow (Investment Appraisal) - Casio FX-7400GII - SOFTWARE VERSION 2-00 User Manual

After configuring the parameters, use one of the function menus noted below to perform the
corresponding calculation.
• {n} ... {number of compound periods}
• {I%} ... {annual interest rate}
• {PV} ... {present value} (Loan: loan amount; Savings: balance)
• {PMT} ... {payment} (Loan: installment; Savings: deposit)
• {FV} ... {future value} (Loan: unpaid balance; Savings: principal plus interest)
• {AMT} ... {amortization screen}
• An error (Ma ERROR) occurs if parameters are not configured correctly.
Use the following function menus to maneuver between calculation result screens.
• {REPT} ... {parameter input screen}
• {AMT} ... {amortization screen}
• {GRPH} ... {draws graph}
After drawing a graph, you can press
results along the graph.
Press to return to the parameter input screen.

4. Cash Flow (Investment Appraisal)

This calculator uses the discounted cash flow (DCF) method to perform investment appraisal
by totalling cash flow for a fixed period. This calculator can perform the following four types of
investment appraisal.
• Net present value (
• Net future value (
• Internal rate of return (
• Payback period (
A cash flow diagram like the one shown below helps to visualize the movement of funds.
With this graph, the initial investment amount is represented by
later is shown by
NPV
)
NFV
)
IRR
)
PBP
)
CF CF
2 2
CF CF
1 1
CF CF
0 0
CF
, two years later by
1
(TRCE) to turn on trace and read calculation
CF CF
5 5
CF CF
CF CF
6 6
3 3
CF CF
4 4
CF
, and so on.
2
7-5
CF CF
7 7
CF
. The cash flow one year
0