50 — M
ORTGAGE
Q
UALIFIER
P
LUS
®
(Cont’d)
— DO NOT CLEAR CALCULATOR —
What should you pay for this trust deed if you want an 18% yield on
your investment?
STEPS
KEYSTROKES
DISPLAY
Enter your desired yield
1 8 ˆ
18.00
Find purchase price
l
“run” 5,530.99
Finding the Value and Discount of a Trust Deed
Determine the value and discount required for a $75,000 mortgage,
payable at $937.50 per month, bearing interest at 11% per year, due
in seven years.
STEPS
KEYSTROKES
DISPLAY
Clear calculator
o o
0.00
Store loan amt in Memory
7 5 ) l µ
M 75,000.00
Enter monthly payment
9 3 7 • 5 p
937.50
Enter annual term
7 T
7.00
Enter annual interest rate
1 1 ˆ
11.00
Compute remaining
balance
s l
43,576.27
— DO NOT CLEAR CALCULATOR —
What should you pay for this trust deed if you want a 17% yield on
your investment?
STEPS
KEYSTROKES
DISPLAY
Enter your desired yield
1 7 ˆ
17.00
Compute value of mortgage
l
59,243.35
Subtract from Memory
s µ
59,243.35
Compute discount
(recall Memory)
® µ
M 15,756.65
Clear Memory*
® ®
15,756.65
*Note: Pressing
® ®
or turning the calculator
O
will clear the value stored in
Memory.
