4.7

Out of 3 Ratings

Owner's of the HP (Hewlett-Packard) Calculator HP 12C Financial Calculator gave it a score of 4.7 out of 5. Here's how the scores stacked up:
  • Reliability

    5.0 out of 5
  • Durability

    5.0 out of 5
  • Maintenance

    5.0 out of 5
  • Performance

    5.0 out of 5
  • Ease of Use

    3.5 out of 5
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74 Section 4: Additional Financial Functions
File name: hp 12c pt_user's guide_English_HDPMF123E27 Page: 74 of 275
Printed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm
In summary, to enter the cash flow amounts:
1. Press fCLEARH to clear the financial and storage registers.
2. Key in the amount of the initial investment, press Þ if that cash flow is
negative, then press gJ.
3. Key in the amount of the next cash flow, press Þ if the cash flow is
negative, then press gK. If the cash flow amount is zero in the next
period, press 0 gK.
4. Repeat step 3 for each cash flow until all have been entered.
With the amounts of the cash flows stored in the calculator’s registers, you can
calculate NPV as follows:
1. Enter the interest rate, using ¼ or gC.
2. Press fl.
The calculated value of NPV appears in the display and also is automatically
stored in the PV register.
Example:
An investor has an opportunity to buy a duplex for $80,000 and
would like a return of at least 13%. He expects to keep the duplex 5 years and
then sell it for $130,000; and he anticipates the cash flows shown in the diagram
below. Calculate NPV to determine whether the investment would result in a return
or a loss.
Note that although a cash flow amount ($4,500) occurs twice, these cash flows
are not consecutive. Therefore, these cash flows must be entered using the method
described above.
Keystrokes Display
f
CLEAR
H
0.00
Clears financial and storage
registers.
80000
ÞgJ
–80,000.00
Stores CF
0
(with minus sign for a
negative cash flow).