Texas Instruments -84 Plus, Manual Book

Page: 392 / 696

Chapter 14: Applications 389
Getting Started: Computing Compound Interest
Getting Started: Computing Compound Interest Getting Started: Computing Compound Interest
Getting Started: Computing Compound Interest
At what annual interest rate, compounded monthly, will 1,250 accumulate to 2,000 in 7
years?
3. Press
Í
to select
1:TVM Solver
from the
CALC VARS
menu. The TVM Solver is displayed.
Press
48
Í
to store 48 months to
Ú
. Press
†
9000
Í
to store 9,000 to
PV
. Press
Ì
250
Í
to store
L
250 to
PMT
. (Negation indicates cash outflow.) Press
0
Í
to store 0 to
FV
.
Press
12
Í
to store 12 payments per year to
P/Y
and 12 compounding periods per year to
C/Y
. Setting
P/Y
to 12 will compute an annual percentage rate
(compounded monthly) for
æ
. Press
† Í
to select
PMT:END
, which indicates that payments are due at the
end of each period.
4. Press
} } } } } }
to move the cursor to the
æ
prompt. Press
ƒ \
to solve for
æ
. What APR
should you look for?