P
OCKET
R
EFERENCE
G
UIDE
— 15
Interest Rate
Find the interest rate on a mortgage if the
loan amount is $98,500, term is 30 years
and payment is $1,150 a month:
STEPS
KEYSTROKES
DISPLAY
Clear
o o
0.00
Enter loan
9 8 5 0 0 l
98,500.00
Enter term
3 0 T
30.00
Enter payment
1 1 5 0 p
1,150.00
Find annual
interest
ˆ
13.78
Find periodic
interest
ˆ
1.15
Loan Amount
Approximately how much can you borrow
if the interest rate is 6.5% on a 30-year
loan and you can afford $1,500 in month-
ly payments? What if the interest rate is
lowered to 6%?
STEPS
KEYSTROKES
DISPLAY
Clear
o o
0.00
Enter interest
6 • 5 ˆ
6.50
Enter term
3 0 T
30.00
Enter payment
1 5 0 0 p
1,500.00
Find loan
l
237,316.23
Enter new interest
rate
6 ˆ
6.00
Find new loan
amount
l
250,187.42
3405PRG-E-B 1/9/04 8:45 AM Page 15
