7-5
After configuring the parameters, use one of the function menus noted below to perform the
corresponding calculation.
• {
n
} … {number of compound periods}
• {
I%
} … {annual interest rate}
• {
PV
} … {present value} (Loan: loan amount; Savings: balance)
• {
PMT
} … {payment} (Loan: installment; Savings: deposit)
• {
FV
} … {future value} (Loan: unpaid balance; Savings: principal plus interest)
• {
AMT
} … {amortization screen}
• An error (Ma ERROR) occurs if parameters are not configured correctly.
Use the following function menus to maneuver between calculation result screens.
• {
REPT
} … {parameter input screen}
• {
AMT
} … {amortization screen}
• {
GRPH
} … {draws graph}
After drawing a graph, you can press
(TRCE) to turn on trace and read calculation
results along the graph.
Press
)
to return to the parameter input screen.
4. Cash Flow (Investment Appraisal)
This calculator uses the discounted cash flow (DCF) method to perform investment appraisal
by totalling cash flow for a fixed period. This calculator can perform the following four types of
investment appraisal.
• Net present value (
NPV
)
• Net future value (
NFV
)
• Internal rate of return (
IRR
)
• Payback period (
PBP
)
A cash flow diagram like the one shown below helps to visualize the movement of funds.
With this graph, the initial investment amount is represented by
CF
0
. The cash flow one year
later is shown by
CF
1
, two years later by
CF
2
, and so on.
CF
0
CF
1
CF
2
CF
3
CF
4
CF
5
CF
6
CF
7
CF
0
CF
1
CF
2
CF
3
CF
4
CF
5
CF
6
CF
7
Summary of Contents for FX-7400GII
Page 337: ...E CON2 Application ...