
Tables and Reference Information A-57
8399APXA.DOC TI-83 international English Bob Fedorisko Revised: 02/19/01 1:25 PM Printed: 02/19/01 1:40 PM
Page 57 of 58
npv
CF
CF
i
i
i
j
S
n
j
N
j
j
( )
(
)
(
(
)
)
=
+
+
− +
−
−
−
=
∑
0
1
1
1
1
1
where:
S
n
j
j
j
i
i
j
=
≥
=
=
∑
1
1
0
0
Net present value is dependent on the values of the initial
cash flow (
CF
0
), subsequent cash flows (
CFj
), frequency of
each cash flow (
nj
), and the specified interest rate (
i
).
irr
( ) = 100
×
i
, where
i
satisfies
npv
( ) = 0
Internal rate of return is dependent on the values of the
initial cash flow (
CF
0
) and subsequent cash flows (
CFj
).
i
=
I
%
÷
100
4
Eff
( )
(
)
(
)
=
×
−
×
+
100
1
1
e
CP
x
ln
where:
x
= .01
×
NOM
÷
CP
[
]
4
Nom
( )
(
)
=
×
×
−
÷
×
+
100
1
1
1
CP
e
CP
x
ln
where:
x
= .01
×
EFF
EFF
=
effective rate
CP
=
compounding periods
NOM
=
nominal rate
Cash Flow
Interest Rate
Conversions