Operation Manual

Chapter 14: Applications 261
CF0 = 2000
CFList = {2000,L3000,4000}
CFFreq = {2,1,2}
npv(, irr(
npv( (net present value) is the sum of the present values for the cash inflows and outflows. A positive
result for npv indicates a profitable investment.
npv(interest rate,CF0,CFList[,CFFreq])
irr(
(internal rate of return) is the interest rate at which the net present value of the cash flows is equal
to zero.
irr(CF0,CFList[,CFFreq])
Classic
Calculating Amortization
Calculating an Amortization Schedule
Use the amortization functions (menu items 9, 0, and A) to calculate balance, sum of principal, and sum
of interest for an amortization schedule.
bal(
bal( computes the balance for an amortization schedule using stored values for æ, PV, and PMT. npmt is
the number of the payment at which you want to calculate a balance. It must be a positive integer
< 10,000. roundvalue specifies the internal precision the calculator uses to calculate the balance; if you
do not specify
roundvalue, then the graphing calculator uses the current Float/Fix decimal-mode setting.
2000 4000 40002000 2000
-3000
1000
-2000
-2500
050003000