HP 12C Platinum manual

F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 1 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm hp 12c platinum financial calculator user's guide H Edition 4 HP part number F2232-90001[...]

F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Notice REGISTER YOUR PRODUC T AT: www.register.h p.com THIS MANUAL AND ANY EXAM PLES CONTAIN ED HEREIN ARE PROVIDED “A S IS” AND ARE SUBJECT TO CHANGE WITHOUT NOTICE. HEWLETT-PAC KARD COMPANY MAK ES NO WARRANTY OF A[...]

3 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 3 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Introduction About This Handbook This hp 12c platinum user's guide i s intended to help you get the most out of your investment in your hp 12c platinum Pr ogrammable Financial C alculator. Although the excitement[...]

4 Introduction F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 4 of 275 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm z The various appendices describe ad ditional details of calcul ator operation a s well as warranty and service informatio n. z The Function Key Index and P rogramming Key Index at the back of the handbook [...]

5 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 5 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Contents Introduction .................................................................... 3 About T his Handbook .....................................................................3 F inanc i al Calc ulatio ns in t[...]

6 Contents F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 6 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm P er cent of T otal in AL G Mode ................................................. 36 Calendar F uncti ons ...................................................................... 3 7 Date Fo rmat .............[...]

Contents 7 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Statu s Indi cato rs .................................................................... 8 7 Number Display F ormats ........................................................ 8 7 Sc ien tific Notation Displa [...]

8 Contents F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 8 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Loop ing .................................................................................... 12 6 Conditi onal Br anching ............................................................... 129 Section 10: Progr[...]

Contents 9 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 9 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Section 15: Savings .......................................................... 213 Nominal R ate Con verted to Eff ecti v e Rate ......................................213 Effec tiv e R ate Con v erted to Nomi[...]

10 Contents F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 10 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Err or 2 : S tatistics........................................................................ 2 46 Err or 3: IRR ............................................................................... 2 46 Err or [...]

Contents 11 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 11 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Lo w- P ow er Indi cation .................................................................. 2 5 9 Installing a Ne w Battery ....................................................... 2 60 V erifying Pr oper O[...]

12 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 12 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Making Financial Calculations Easy Before you begi n to read thro ugh this ha ndbook, let’s take a look at h ow easy financial calculations can be with your hp 12c platinum. While working throug h the examples bel[...]

Making Financial Calculations Easy 13 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 13 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Note: A battery symbol ( ) shown in the upper-left corner of the disp lay when the calcul ator is on signifies that the available battery po wer is nearly exhausted. To in stall ne[...]

14 Making Financial Calculations Easy F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 14 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes Display M 10,371.79 Value of policy in 14 years. Example 3: The precedin g example show ed that the insur ance polic y will provide about half the required amount. An ad[...]

F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 15 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Part I Problem Solving[...]

16 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 16 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Sect ion 1 Getting Started P ower On and O ff To begin using your hp 12c platinum, press the ; key * . Pressing ; again turns the calculator off. If not manually turned off , the calculator will turn off automatical[...]

Section 1: Getting Started 17 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 17 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Throug hout this handbook, referenc es to the func tions sho wn on the keybo ard in gold under the bracket labeled “ CLEAR” appear throughout this handbook preceded by the word “CLEA[...]

18 Section 1: Getting Started F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 18 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm K e yin g in Lar ge Numbers Since the display ca nnot show more than 10 digits of a nu mber, numbers greate r than 9,999,999,999 cannot be enter ed into th e display by ke ying in all the [...]

Section 1: Getting Started 19 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 19 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display 12345 gÚgÚ .63 + 123.63 Correcting removes the 4 and 5. gÚ clears the most recent digit entered. 5 } 128.63 } is also labeled th e key. gÚ 0.00 Clears t[...]

20 Section 1: Getting Started F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 20 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Undo Operation Every time you pres s O , gÚ , f CLEAR H , f CLEAR ² or f CLEAR G key to clear data, th e status indicator appears i n the display. This means you can pre ss gß to undo t[...]

Section 1: Getting Started 21 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 21 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Simple Arithmetic Calculations in RPN Mode In RPN mode, any simple arithmetic calculati on involves two numbers and an operation — addition, s ubtraction, multiplication, or di vision. T[...]

22 Section 1: Getting Started F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 22 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Simple Arithmetic Calculations in AL G Mode In ALG mode, any simple arithmetic calculation involves two numb ers and an operation — addition, s ubtraction, multiplication, or di vision. [...]

Section 1: Getting Started 23 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 3 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Chain Calculations in RPN Mode Whenever the a nswer has just b een calculated and is therefore in the display, yo u can perform a nother op eration with thi s number by simply keying in t[...]

24 Section 1: Getting Started F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 4 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Display - 21.68 Pressing - subtracts the numb er just entered fr om the number previous ly in the display. The calculator displays the result of this calculation, wh[...]

Section 1: Getting Started 25 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 25 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Your hp 12c platinum calculates the answ er in just the s ame way in RPN m ode: Keystrokes (RPN mode) Display 3 4 § 12.00 Step 1: Multiply the n umbers in the first parentheses. 5 6 ?[...]

26 Section 1: Getting Started F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 6 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Chain Calculations in AL G Mode To do a chain calculation, you don’t need to press } after each operation, but only at the very end. For instance, to calculate 360 12 x 750 you can ente[...]

Section 1: Getting Started 27 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm If you want to c alculate ) 1 5 ( 8 − , use the foll owing keystrokes: Keystrokes (ALG mode) Display OO 0.00 Clears any pend ing operations. 8 zgØ 5 - 5.00 No ca lcul ation is don e. 1[...]

28 Section 1: Getting Started F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 28 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example: Before you le ave to call o n a customer inte rested in yo ur personal computer, y ou store the cos t of the comp uter ($1,250) and also the cost of a printer ($500) in data stora[...]

Section 1: Getting Started 29 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 29 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Clearing St orage Regi sters To clear a single sto rage register — that is, t o replace the number in it wi th zero — merely sto re zero into it. Yo u need not cl ear a storage r egist[...]

30 Section 1: Getting Started F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 30 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes Display 22.95 ?- 0 22.95 Subtracts the first check from the balance in R 0 . Note that the di splay continues to show the amount subtracted; th e answer is placed onl y in R 0 .[...]

31 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 31 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Sect ion 2 Percentage and Calendar Functions P ercenta ge Functions The hp 12c plat inum includ es three keys for solving perc entage pr oblems: b , à , and Z . You don’t need to c onvert percentages to their dec[...]

32 Section 2: Percentage and Calendar Functio ns F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 32 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Pe r c e n t a g e s i n A L G M o d e In ALG mode, to find the amount correspon ding to a percentag e of a number: 1. Key in the base number. 2. Press § . 3. Key in th[...]

Section 2: Percentage and Calendar Functio ns 33 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 33 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Net Amount in RPN Mode A net amount — th at is, the b ase amount plus o r minus the pe rcentage amount — can be calculat ed easily with your hp 1 2c platinum, since [...]

34 Section 2: Percentage and Calendar Functio ns F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 34 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display 8 b 1,860.00 Amount of discount. = 21,390.00 Base amount less di scount. 6 b 1,283.40 Amount of tax (on $21,390). } 22,673.40 Total cost: b[...]

Section 2: Percentage and Calendar Functio ns 35 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 35 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm P ercent o f T otal in RPN Mode In RPN mode, to calculat e what percentage on e number is of a nother: 1. Calculate the total amount by adding the individual amount s, j[...]

36 Section 2: Percentage and Calendar Functio ns F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 36 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm T o f i n d w h a t p e r c e n t a g e a n u m b e r i s o f a total, when you already know t he total number: 1. Key in the total numb er. 2. Press to separate the o[...]

Section 2: Percentage and Calendar Functio ns 37 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 3 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm T o f i n d w h a t p e r c e n t a g e a n u m b e r i s o f a total, when you already know t he total number: 1. Key in the total numb er. 2. Press } to separate the [...]

38 Section 2: Percentage and Calendar Functio ns F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 38 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm For example, to key in April 7, 2004: Keystrokes Display 4.072004 4.072004 Day-Mo nth-Ye ar. To set the date format to day -month-year, press gÔ . To key in a date with[...]

Section 2: Percentage and Calendar Functio ns 39 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 39 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example: If you purchased a 120-day option on a piece of land on 14 May 2004, what would be the expiration date ? Assume that you normally expre ss dates in the day-mont[...]

40 Section 2: Percentage and Calendar Functio ns F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 40 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Number of Da y s Between Dates To calculate the number of days between two given d ates: 1. Key in the ea rlier date and press . 2. Key in the later date and press gÒ[...]

41 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 41 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Sect ion 3 Basic Financial Functions Th e Fin a n c i a l Re g i s te rs In addition to the data storag e registers discuss ed on page 27, the hp 1 2c platinum has five special r egisters in which numbers ar e store[...]

42 Section 3: Basic Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 4 2 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Clearing the F inancial Re gisters Every financial function uses nu mbers stored in several of the f inancial registers. Before beginning a new fin ancial calculation, it is go [...]

Section 3: Basic Financial Functions 43 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 43 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example 1: Your good fri end needs a loan to start his latest enterprise and has requested that you le nd him $450 for 60 days. You lend him the money at 7 % simple interest, to [...]

44 Section 3: Basic Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 44 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Financial Calculations an d the Cash Flo w Diagram The concepts and e xamples presented in this section are rep resentative of a wi de range of financial calculati ons. If your s[...]

Section 3: Basic Financial Functions 45 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 45 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm The arrow pointing up at the right of the diag ram indicates that mone y is received at the end of th e transaction. Every completed cash flo w diagram must incl ude at l e a s t[...]

46 Section 3: Basic Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 46 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm z FV — the future valu e — is the final cash flow or the compounded value of a series of prior cash flows. In the particular problem illustrat ed above, FV is unknown (but ca[...]

Section 3: Basic Financial Functions 47 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 4 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm The BEGIN status indicator is lit when th e payment mode is set to Begin. If BEGIN is not lit, the payment m ode is set to End. The payment mode rem ains set to what you last sp[...]

48 Section 3: Basic Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 48 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm[...]

Section 3: Basic Financial Functions 49 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 49 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Compound Interest Calc ulations Specifying the N umber of Compoundin g P eriods and th e P eriodic Interest Rate Interest rates ar e usually quote d at the annual rate (also call[...]

50 Section 3: Basic Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 50 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm If the answer ca lculated is not an integer (that i s, there would be nonzer o digits to the right of the decimal point ), the calculato r rounds the ans wer up to the next highe[...]

Section 3: Basic Financial Functions 51 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 51 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Display n 328.00 Number of payments re quired. 12 z 27.33 Twenty -seven year s and fou r months. In ALG mode, perform the RPN steps but replace th e last st[...]

52 Section 3: Basic Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 5 2 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display +:P –325.00 Recalls payment amo unt. } –143.11 Final, fractional paym ent. Alternatively, you cou ld make the frac tional payment together with[...]

Section 3: Basic Financial Functions 53 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 53 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example 2: You’re ope ning a savi ngs accou nt today ( the middle of the month ) with a $775 deposit. The account pays 6. 25% intere st compounded semimonthly. If you make semi[...]

54 Section 3: Basic Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 54 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display g 4,000.00 Sets the paymen t mode to End. n 58.00 Number of semimonthly deposits. z 2 } 29.00 Number of months. As in Example 1, it i s likely tha[...]

Section 3: Basic Financial Functions 55 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 5 5 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display 4000 } –22.73 Calculates final, fractional, 58 th deposit requ ired to reach $4,000. Calculati ng the P eriodic an d Annua l Inter est R ates 1. [...]

56 Section 3: Basic Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 56 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Display ¼ 1.61 Periodic (quart erly) interest rat e. 4 § 6.44 Annual interest rate. Keystrokes (ALG mode) Display f CLEAR G 8 § 4 w 32.00 Calculates and [...]

Section 3: Basic Financial Functions 57 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 5 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example 1: You’re financing a n ew car purchase with a loan from an institution that requires 5.9% interest compoun ded mo nthly over t he 4-year term o f the loan. If you can[...]

58 Section 3: Basic Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 58 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example 2: A development comp any would like to purchase a gro up of condominiums with an annual net cas h flow of $17,500. The expec ted holding period is 5 years, and the estim[...]

Section 3: Basic Financial Functions 59 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 5 9 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm 5. Press g× or g to set the pa yment mode. 6. Press P to calculat e the payment a mount. Example 1: Calculate the payment amount on a 29-year, $243, 400 mortgage at 5.25% ann[...]

60 Section 3: Basic Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 60 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Display f CLEAR G 15 2 µw 30.00 Calculates and stores n. 9.75 2 z¼ 4.88 Calculates and stores i. 3200 Þ$ –3,200.00 Stores PV (with minus sign for c[...]

Section 3: Basic Financial Functions 61 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 61 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example 1: In Example 1 on page 59, we calculat ed that the payment amount on a 29-year, $243,400 mortgage at 5.25% annual interest co mpounded monthly is $1,363.29. If the selle[...]

62 Section 3: Basic Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 6 2 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes Display f CLEAR G 2 gA 24.00 Calculates and stores n. 6.25 gC 0.52 Calculates and stores i. 50 ÞP –50.00 Stores PMT (with minus sign for ca sh paid out) . g× –5[...]

Section 3: Basic Financial Functions 63 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 63 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Odd-P eriod Calculations The cash f low diagr ams and exam ples pre sented so f ar have dea lt with financia l transactions in which interest begins to accrue at the beginning of[...]

64 Section 3: Basic Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 64 of 27 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm You can calculate i , PV , PMT , and FV for transactions invol ving an odd perio d simply by enterin g a noninteger n . (A n oninteger is a n umber with at l east one nonzero digi[...]

Section 3: Basic Financial Functions 65 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 65 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example 1: A 36-month loan for $4,500 accrues interest at a 5% annual percentage rate (APR), with the pa yments made at the end of each m onth. If interest begins accruing on thi[...]

66 Section 3: Basic Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 66 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display 2.152004 } 2.15 Keys in the date inte rest begins accruing and separat es it from t he next date ente red. 3.012004 3.012004 Keys in the date of the[...]

Section 3: Basic Financial Functions 67 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 6 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Display 42 +n 42.43 Adds the fractional pa rt of n t o the number of complete p ayment periods, then stores th e result in n. 3950 $ 3,950.00 Stores PV. 12[...]

68 Section 3: Basic Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 68 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Before leaving this Odd-Period mode example, you may now press ?Æ to turn the C annunciator off, if needed. Note that when the calculator is not in Odd-Period mod e, the status [...]

Section 3: Basic Financial Functions 69 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 69 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Amortization The hp 12c platinum enabl es you to cal culate the amount s applied toward principal and toward i nterest from a single loan payment or from sev eral payments, and a[...]

70 Section 3: Basic Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 7 0 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes Display 1498.12 ÞP –1,498.12 Enters PMT (with minus sign for c ash paid out). g –1,498.12 Sets payment mode to End. 12 f! –13,006.53 Portion of first year’[...]

Section 3: Basic Financial Functions 71 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 71 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes Display 1 f! –1,093.75 Portion of first payment applied to interest. ~ –404.37 Portion of first payment applied to principal. 1 f! –1,091.98 Portion of secon d p[...]

72 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 7 2 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Sect ion 4 Additional Financial Functions Discounte d Cash Flow Analysis: NPV and I RR The hp 12c platinum provides functions for th e two most widel y-used methods of discounted cash flow analysis : fl ( net prese[...]

Section 4: Additional Financial Functions 73 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 7 3 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm z If NPV is positive, the financi al value of the inve stor’s assets would b e increased: the investment is financially attractive. z If NPV is zero, the financial value [...]

74 Section 4: Add itional Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 7 4 of 27 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm In summary, to enter the cash flow am ounts: 1. Press f CLEAR H to clear th e financial and storage regist ers. 2. Key in the amount of the initial investment, press Þ i f[...]

Section 4: Additional Financial Functions 75 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 7 5 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes Display 500 ÞgK –500.00 Stores CF 1 (with minus sign for a negative cash flow). 4500 gK 4,500.00 Stores CF 2 . 5500 gK 5,500.00 Stores CF 3 . 4500 gK 4,500.00[...]

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Section 4: Additional Financial Functions 77 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 77 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes Display f CLEAR H 0.00 Clears financial and storage registers. 79000 ÞgJ –79,000.00 Initial investment (with minus sign for a negative cash flow). 14000 gK 14,[...]

78 Section 4: Add itional Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 7 8 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Calculatin g Internal Rate of Return (IRR) 1. Enter the cash flows using either of the meth ods described above under Calculating Net Present Value. 2. Press fL . The calc[...]

Section 4: Additional Financial Functions 79 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 7 9 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Re vie wing Cash F lo w Entries z To display a single cash flow amount, press : , then key i n the number of the register containing the cash flow amount to be dis played. [...]

80 Section 4: Add itional Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 80 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm To display all the cash flow amounts and the number of times they occur consecutively: Keystrokes Display :ga 1.00 N 7 :gK 100,000.00 CF 7 :ga 1.00 N 6 :gK 4,500.00 CF 6 :g[...]

Section 4: Additional Financial Functions 81 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 81 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Note: If you change the numbe r in the n regist er in order to change an N j , be sure to reset the n umber in the n regi ster to the total number o f cash flow amounts orig[...]

82 Section 4: Add itional Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 82 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Bond Calculations The hp 12c platinum en ables you to solve for b ond price (and the inter est accrued since the last interest date) and the yi eld to maturity. * The fE an[...]

Section 4: Additional Financial Functions 83 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 83 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm In ALG mode, perf orm the steps listed for RPN mode above but re place the last step with the ste p below. Keystrokes (ALG mode) Display +~} 123.07 Total price, inclu ding a[...]

84 Section 4: Add itional Financial Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 84 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Depreciation Ca lculations The hp 12c platinum e nables you to calcula te depreciation an d the remaining deprecia ble value (bo ok value minus sa lvage value) using th e s[...]

Section 4: Additional Financial Functions 85 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 85 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes Display ~ 3,100.00 Remaining depreciable value after second yea r. 3 f# 1,440.00 Depreciation in third year. ~ 1,660.00 Remaining depreciable value after third ye[...]

86 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 86 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Sect ion 5 Additional Operating Features Contin uous Memory The calculator’s Continuous M emory contains the data storage registers, the financial registers, the sta ck and LAST X regi sters, prog ram memory, an d[...]

Section 5: Additional Operating Features 87 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 8 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Th e D i s p l ay Status Indicators Nine indicators that appe ar along the bottom o f the display signify the status of the calculator for certain operation s. These st atus[...]

88 Section 5: Additional Operating Features F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 88 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Several options are provided for controlling how number s appear in the dis play. But regardless o f which display format or how many di splayed decimal places you specify, t[...]

Section 5: Additional Operating Features 89 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 89 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm exponent is sim ply how many decimal places y ou would move t he decimal point in the mantissa before writing down the numbe r in standard format. If the exponent is negative[...]

90 Section 5: Additional Operating Features F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 90 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Special Display s Running. Certain functions a nd many programs may take several seconds or more to produce an a nswer. During th ese calculations, the wo rd running flashes [...]

Section 5: Additional Operating Features 91 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 91 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm The ~ key is also use ful for checking the first number entere d to make sure you keyed it in correctly. Befo re pressi ng the operation key or eq uals key, how ever, you sho[...]

92 Section 5: Additional Operating Features F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 92 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Reco ve ring Fr om Err ors in Digit Ent ry Example: Suppose you want to divide the total annual production for one of your firm’s products (429,000) by the number of r etai[...]

93 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 93 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Sect ion 6 Statistics Functions Ac cum u la ti ng S ta ti s ti cs The hp 12c platinum can pe rform one- or two-v ariable statistica l calculations. The data is entered into the calculator using the _ key, which auto[...]

94 Section 6: Statistics Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 9 4 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm The table below shows where th e accumulated s tatistics are store d. Register Statistic R 1 (and display) n : number of data pairs accumul ated. R 2 Σ x : summation of x- values. R[...]

Section 6: Statistics Functions 95 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 95 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Salesperson Hours/Week Sales/Month 1 32 $17, 000 2 40 $25, 000 3 45 $26, 000 4 40 $20, 000 5 38 $21, 000 6 50 $28, 000 7 35 $15, 000 To find the aver age workweek and sales of this sa[...]

96 Section 6: Statistics Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 96 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Standard De v iation Pressing gv calculates the standa rd deviation of th e x-value s ( s x ) and of the y-value s ( s y ). (The stan dard deviation of a set of data is a measure of t[...]

Section 6: Statistics Functions 97 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 9 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm To continue sum ming data pairs, press gÖg^ before entering mo re data. Note: In some cases involving data val ues that differ by a relatively small amount, the cal culator cannot c[...]

98 Section 6: Statistics Functions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 98 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example: Check the reliability of the lin ear es timate in the preceding example by displaying the correlation coeffi cient. Keystrokes Display ~ 0.90 The correlation coeffici ent is [...]

Section 6: Statistics Functions 99 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 99 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm We i g h t e d M e a n You can compute the w eighted mean of a set of nu mbers if you know t he corresponding weights of the items in question. 1. Press f CLEAR ² . 2. Key in the val[...]

100 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 100 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Sect ion 7 Mathematics and Number-Alteration Functions The hp 12c platinum p rovides several k eys for mathematical functions and for altering numbers. Thes e functions are usefu l for specia lized finan cial calc[...]

Section 7: Mathematics and Number-Alteration Fun ctions 101 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 101 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Integer. Pressing gÑ replaces the numb er in the display by its integer portion — that is, it replaces each digit to the ri ght of the decimal point by 0.[...]

102 Section 7: Mathematics and Number-Alteration Fun ctions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 102 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm T he P ow er Fun ction in RPN Mode Pressing q calculates a power of a numb er — that is, y x . Like the arithm etic function + , q requires two n umbers: 1[...]

F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 103 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Part II Programming[...]

104 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 104 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Sect ion 8 Programming Basics Why Us e P rog ram s ? A program is simply a s equence of ke ystrokes that is sto red in the calculator. Whenever you have to calculat e with the sam e sequence o f keystrokes several[...]

Section 8: Programming Basics 105 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 1 05 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example: Your office supplies dealer is selling selected stock at 25% off. Create a program that calculates the n et cost of an item after th e discount is subt racted and the $5 han[...]

106 Section 8: Programming Basics F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 106 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Display 001, 36 2 002, 2 5 003, 5 b 004, 25 - 005, 30 5 006, 5 + 007, 40 Keystrokes (ALG mode) Display - 001, 30 2 002, 2 5 003, 5 b 004, 25 + 005, 40 5 006, 5[...]

Section 8: Programming Basics 107 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 10 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example: Run the program created above t o calculate the net cost of a typ ewriter listing for $625 and an executive chair lis ting for $159. Keystrokes (RPN mode) Display fs 155.00 [...]

108 Section 8: Programming Basics F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 108 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Progr am Memor y Keystrokes entered into the cal culat or in Program mod e are stored in program memory . Each digit, decimal p oint, or function key is called a n instruction and is [...]

Section 8: Programming Basics 109 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 109 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Since keystroke seq uences beginning with f , g , ? , : , and i are store d in only one program line, the display of t h at line would show t he keycodes for all the keys in the keyst[...]

110 Section 8: Programming Basics F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 110 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm For example, to display the first two lines of the program n ow stored in progra m memory, set the calculator to Program mo de and pre ss Ê twice: Keystrokes (RPN mode) Display fs 00[...]

Section 8: Programming Basics 111 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 111 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm If either the Ê key or the Ü key is held dow n, the calculator displays all of the lines in program memory. P ress Ê again now, but this time hol d it down until program line 007 i[...]

112 Section 8: Programming Basics F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 112 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm The 000 Instr uction and Progr am Li ne 000 Whenever you run th e program now st ored in program m emory, the cal culator executes the instruc tion in line 008 after executing the sev[...]

Section 8: Programming Basics 113 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 113 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm To determine at any tim e how many program lines (in cluding those containing gi 000) are currently in program memory , press gN ( memory ). The calculator will respond with a display[...]

114 Section 8: Programming Basics F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 114 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Setting th e Calculator to a P articula r Progr am Line There will be occasions when you’ll want to set the cal culator directly to a particular program lin e — such as wh en you?[...]

Section 8: Programming Basics 115 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 115 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Display fs 124.25 Sets calculator to Run m ode and to line 000 in program memory. (Display shown assumes results remain from previous calculation.) 625 625. Keys[...]

116 Section 8: Programming Basics F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 116 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display fs 124.25 Sets calculator to Run m ode and to line 000 in program memory. (Display shown assumes results remain from previous calculation.) 625 625. Keys[...]

Section 8: Programming Basics 117 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 117 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Interruptin g Program Ex ecutio n Occasionally you’ll w ant a program to stop executing s o that you can s ee an intermediate res ult or enter new dat a. The hp 12c platinum provide[...]

118 Section 8: Programming Basics F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 118 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Pressing the gu k e y s i s n o t n e c e s s a r y w h e n w e d o t h e c a l c u l a t i o n s m a n u a l l y , since in Run mode the resul t of every intermedi ate calculation is[...]

Section 8: Programming Basics 119 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 119 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Display § 890.50 AMOUNT. ?+ 1 890.50 Adds AMOUNT to sum of AMOUNT entries in register R 1 . : 0 6.75 Recalls tax rate to display. b 60.11 TAX. ?+ 2 60.11 Adds T[...]

120 Section 8: Programming Basics F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 120 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Now, we’ll store the progra m in program mem ory. Do not key in the q uantity and cost of each item; these numb ers will vary eac h time the prog ram is run. Keystrokes (RPN mode) D[...]

Section 8: Programming Basics 121 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 121 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display ?+ 3 012, 44 40 3 Note: The procedu re used in th e ALG program in steps 1 thr ough 3 allows the algebraic program t o run in the same manner as the RPN [...]

122 Section 8: Programming Basics F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 122 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes Display : 2 402.82 Sum of TAX column. : 3 6,370.52 Sum of TOTAL column. If the duration of the pause is not long enough to write down the number displayed, you can prolon g[...]

Section 8: Programming Basics 123 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 123 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display § 001, 20 ~ 002, 34 } 003, 36 t 004, 31 Stops pro g ram exec ution to dis play AMOUNT. ?+ 1 005, 44 40 1 = 006, 40 : 0 007, 45 0 b 008, 25 t 009, 31 Sto[...]

124 Section 8: Programming Basics F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 12 4 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes Display t 137.70 TAX for third item. t 2,177.70 TOTAL for third i tem. 5 345 345. Fourth item. t 1,725.00 AMOUNT for fourth item. t 116.44 TAX for fourth item. t 1,841.4[...]

125 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 125 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Sect ion 9 Branching and Looping Although the instructions in a prog ram no rmally are executed in order of th eir program line numbers, i n some situations it is desirabl e to have prog ram execution tr an sf er [...]

126 Section 9: Bra nching and Looping F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 12 6 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Looping If a i instruction specifies a lower-n umb ered line in program memory, t he instructions in the program lines between th e specified line and the i instruction will be e[...]

Section 9: Branching and Looping 127 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 127 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes Display f! 003, 42 11 Amortizes payment(s). gu 004, 43 31 Pauses to display am ount of payment(s) applied t o interest. ~ 005, 34 Brings amount of pa yment(s) applied to[...]

128 Section 9: Bra nching and Looping F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 128 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes Display –593.75 Portion of first month’s payme nt applied to interest. Ê 004, 43 31 Line 004: gu . –593.75 Ê 005, 34 Line 005: ~ . –188.72 Portion of first mo[...]

Section 9: Branching and Looping 129 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 129 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes Display t –592.25 Portion of third month’s paymen t applied to interest. –190.22 Portion of third month’s paymen t applied to princi pal. t (or any key) –190.2[...]

130 Section 9: Bra nching and Looping F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 130 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm These rules can be summari zed as “DO if TRUE”. The program line immediatel y following that containing th e conditional test instruction can contain any instruction; however,[...]

Section 9: Branching and Looping 131 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 131 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm RPN program notes: We’ll key the income i nto the display before running t he program so that it will be in the X-register when the : 0 instruction in program line 001 is execute[...]

132 Section 9: Bra nching and Looping F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 13 2 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Display go 003, 43 34 Tests whether n umber in X- re g ister (income) is less t han or equal to number in Y-register (20,000). gi 007 004,43, 33, 007 If con[...]

Section 9: Branching and Looping 133 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 133 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display : 0 002, 45 0 Recalls test value into X- register and places income in Y-register. ~ 003, 34 Places income in X-register and test value in Y-register.[...]

134 Section 9: Bra nching and Looping F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 134 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Display 20,000.00 Test value ha s been recall ed to X-register, moving income to Y-register. Ê 002, 34 Line 002: ~ 15,000.00 Income has been p laced in X-re[...]

Section 9: Branching and Looping 135 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 135 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Display Ê 004,43, 33, 007 Condition tested by o was true, so program e xecution continued with line 004: gi 007. 20,000.00 Ê 007, 45 1 Line 007: : 1. 20.00 [...]

136 Section 9: Bra nching and Looping F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 136 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display 20000 ? 0 20,000.00 Stores tes t value in register R 0 . 20 ? 1 20.00 Stores 20% tax r ate in register R 1 . 25 ? 2 25.00 Stores 25% tax r ate in reg[...]

Section 9: Branching and Looping 137 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 13 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display Ê 012,43,33,000 3,000.00 Line 012: gi 000. 20000 20,000. Keys income eq ual to test value into display and X-register. Ê 001, 44 9 Line 001: ? 9. 2[...]

138 Section 9: Bra nching and Looping F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 138 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display 25000 25,000. Keys income g reater than test v alue into display and X-register. Ê 001, 44 9 Line 001: ? 9. 25,000.00 Stores income into register R [...]

13 9 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 139 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Secti o n 10 Program Editing There are vario us reasons why you might want to modify a program you h ave stored in Program mem ory: to correct a p r ogram that turns out to have errors; to insert new instructions[...]

140 Section 10: Program Editing F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 140 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Display Ê 006,43, 33, 008 Shows that instruction in program line 006 has not been changed. fs 6,250.00 Sets calculator back to Run mod e. (Display shown assumes r[...]

Section 10: Program Editing 141 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 141 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Note: To add one or more instruction s at the end of a prog ram that is not the last program store d in progra m memory , use the proc edure desc ribed below under Adding Inst ructions [...]

142 Section 10: Program Editing F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 142 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display 15000 t 12,000.00 Net income after 20% tax is subtracted from $15,000 income. Adding Instr uctions within a Pr ogr am If an instruction is to be added with[...]

Section 10: Program Editing 143 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 143 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm 4. Key in the original inst ruction or instructions, beginning with the first instruction to be executed after the a dded instruction(s), and continuing through the last instructi on yo[...]

144 Section 10: Program Editing F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 144 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display Þ 013, 16 Keys new instruction into program line 013. + 014, 40 Keys new instruction into program line 014. : 9 015, 45 9 Keys new instruction into progra[...]

Section 10: Program Editing 145 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 145 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm ensures that program ex ecution will branch to line 000 after the progra m is run. 6. Key in the instruction(s) being a dded. 7. Key in the i nstruction that origin ally immediately fol[...]

146 Section 10: Program Editing F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 146 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Display : 3 012, 45 3 ~ 013, 34 go 014, 43 34 gi 000 015,43, 33, 000 Added instructions. : 0 016, 45 0 Keys in instruction imm ediately following point at which ne[...]

Section 10: Program Editing 147 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 1 4 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display gi 018 001,43, 33, 018 Branches to program line 018, the second line after last line of program. gi. 016 016, 36 Sets calculator to last line of program [...]

148 Section 10: Program Editing F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 148 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm The following illustration of t he edited RPN prog ram shows how program execution branches to the instru ctions added at the end of p rogram memory, th en branches back. While the actu[...]

14 9 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 149 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Secti o n 11 Multiple Programs You can store multiple programs in program m emory, provided that you separat e them by instructi ons that will halt program exec ution after eac h program is run and return to the [...]

150 Section 11: Multiple Programs F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 150 of 275 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example 1: Assuming that pr ogram memory still contains the last program fro m the preceding section (which consisted of 17 program lines in RPN mode an d 23 program lines in ALG mod e)[...]

Section 11: Multiple Programs 151 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 151 of 275 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display - 025, 30 2 026, 2 5 027, 5 b 028, 25 + 029, 40 5 030, 5 } 031, 36 Keys in program. t 032, 31 Halts program exec ution. gi 025 033,43, 33, 025 Branches to [...]

152 Section 11: Multiple Programs F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 152 of 275 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Display ? 0 028, 44 0 : 0 029, 45 0 f! 030, 42 11 gu 031, 43 31 ~ 032, 34 gu 033, 43 31 gi 029 034,43, 33, 029 Keys in program Keystrokes (ALG mode) Display fs Set[...]

Section 11: Multiple Programs 153 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 153 of 275 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Runni ng Another Pr ogra m To run a program that does not begin with program line 001: 1. Press fs to set the calculator to Run mode. If the calculat or is already in Run mode, skip thi[...]

[...]

F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 15 5 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Part III Solutions[...]

15 6 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 156 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Secti o n 12 Real Estate and Lending Annual P ercentage Rate Calculations With Fees Borrower s are usually ch arged fee s in connection with the issu ance of a mortgage , which effectivel y raises the in terest r[...]

Section 12: Real Estate and Lending 157 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 15 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm ALG Mode: z If fees are stated as a per centage of the mo rtgage amount (p oints), recall the mortg age amount ( :$ ); press - ; key in the f ee (percen tage) r ate; press b$ .[...]

158 Section 12: Real Estate and Lending F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 158 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example 2: Using the same i nformation as given in example 1, calculate the APR if the mortgage fee is $750 instead of a percentage. Keystrokes (RPN mode) Keystrokes (ALG mode) [...]

Section 12: Real Estate and Lending 159 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 15 9 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Keystrokes (ALG mode) Display ¼ ¼ 0.48 Monthly interest rate (calculated). 12 § § 12 ³ 5.73 Annual percentage rate. Price of a Mortg age T r aded at [...]

160 Section 12: Real Estate and Lending F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 1 60 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Keystrokes (ALG mode) Display 9 gC 9 gC 0.75 Discount rate (into i). 137.17 P * 137.17 P * 137.17 Monthly payments (into PMT). 2000 M$ 2000 M$ –8,777.61[...]

Section 12: Real Estate and Lending 161 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 161 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Yield of a Mortgage T r aded at a Discount or Pr emium The annual yield of a mortg age bought at a discount or premium can be calculated given the original mortgage amount, inte[...]

162 Section 12: Real Estate and Lending F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 16 2 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Keystrokes (ALG mode) Display P P 2,096.57 Payment received (calculated). :n :n 252.00 Recall number of periods. 42 -n - 42 n 210.00 Number of periods lef[...]

Section 12: Real Estate and Lending 163 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 163 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Calculate the remaining balance of the loan after five y ears. Keystrokes (RPN mode) Keystrokes (ALG mode) Display 5 gA 5 gA 60.00 Number of periods to be amortized. M M 258,377[...]

164 Section 12: Real Estate and Lending F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 164 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY f CLEAR Î 000, f CLEAR Î 000, M 001, 15 M 001, 15 M * 002, 15 M * 002, 15 Þ 003, 16 Þ 003, 16 ?. 1 004,44 48 1 ?.[...]

Section 12: Real Estate and Lending 165 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 1 6 5 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY § 022, 20 2 022, 2 f! 023, 42 11 f! 023, 42 11 Þ 024, 16 Þ 024, 16 :n 025, 45 11 z 025, 10 z 026, 10 :n 026, 45 [...]

166 Section 12: Real Estate and Lending F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 166 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY M 046, 15 :$ 046, 45 13 t 047, 31 M 047, 15 : 1 048, 45 1 t 048, 31 : 6 049, 45 6 : 1 049, 45 1 + 050, 40 Þ 050, 16 [...]

Section 12: Real Estate and Lending 167 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 16 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm 1. Key in the program. 2. Key in the estimated down payment then press ? 1. 3. Key in the life o f the mortgage t hen press ? 2. 4. Key in the annual mortgage interest rate the[...]

168 Section 12: Real Estate and Lending F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 168 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example: You are being tran sferred for 4 years t o a distant city and are face d w i t h t h e d e c i s i o n o f w h e t h e r t o r e n t o r t o b u y a h o u s e . A q u i[...]

Section 12: Real Estate and Lending 169 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 169 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Keystrokes (ALG mode) Display t t 8.57 Yield. t t 46,048.61 Balanc e in savings . By purchasing a house, you would gain $7,047.04 (53,095.65 – 46,048.61)[...]

170 Section 12: Real Estate and Lending F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 17 0 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm In the example cited, the rental payment stre am for months 7 through 24 are “deferred annuities,” as th ey start at some time in the futu re. The cash flow diagram from th[...]

171 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 171 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Secti o n 13 Investment Analysis P artial- Y ear Depreciation For both income tax purposes and financial analys es, it is va luable to calculate deprec iatio n based o n a calendar or fisca l accounti ng year . Wh[...]

172 Section 13: Investment Analysis F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 17 2 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY : 1 012, 45 1 1 012, 1 § 013, 20 fV 013, 42 23 ? 3 014, 44 3 § 014, 20 :$ 015, 45 13 : 1 015, 45 1 ~ 016, 34 ³ 016, 3[...]

Section 13: Investment Analysis 173 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 17 3 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY gu 036, 43 31 ?= 2 036,44 40 2 :$ 037, 45 13 gi 029 037,43,33, 029 :M 038, 45 15 : 2 038, 45 2 - 039, 30 gu 039, 43 31 :[...]

174 Section 13: Investment Analysis F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 17 4 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm RPN Mode: 6. Key in t he year des ired th en press . 7. Key in the n umber of months in the first year and press t . * The display will show the amount of depreciation fo r the d[...]

Section 13: Investment Analysis 175 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 1 7 5 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Keystrokes (ALG mode) Display f] f[ f CLEAR G f CLEAR G Salvage value = 0 so FV = 0; set to 0 by CLEAR G . 125000 $ 125000 $ 125,000.00 Book value. 25 n 25 n[...]

176 Section 13: Investment Analysis F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 17 6 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example 2: A used car was pur chased for $6, 730 with 4.5 months remaining in the year. If the expected life of the car is 5 years, what is the amount of depreciation in the fi rst[...]

Section 13: Investment Analysis 177 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 177 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY 1 010, 1 ³ 010, 36 f# 011, 42 25 ? 0 011, 44 0 : 1 012, 45 1 1 012, 1 § 013, 20 f# 013, 42 25 ? 3 014, 44 3 § 014, 20 [...]

178 Section 13: Investment Analysis F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 17 8 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY :M 034, 45 15 : 2 034, 45 2 - 035, 30 gu 035, 43 31 : 3 036, 45 3 :$ 036, 45 13 gi 026 037,43,33, 026 - 037, 30 fs :M 03[...]

Section 13: Investment Analysis 179 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 17 9 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm RPN Mode: 7. Key in t he year des ired th en press . 8. Key in the n umber of months in first year * and press t . † The display will show the amount of depreciation for the de[...]

180 Section 13: Investment Analysis F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 180 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Keystrokes (ALG mode) Display 11,458.33 depreciation. Sum-o f-the- Y ears-Digits De precia tion The following hp 12c platinum prog ram calculates th e sum-of-t[...]

Section 13: Investment Analysis 181 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 181 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY $ 018, 13 :$ 018, 45 13 :n 019, 45 11 - 019, 30 : 1 020, 45 1 ~ 020, 34 - 021, 30 $ 021, 13 n 022, 11 :n 022, 45 11 : 0 0[...]

182 Section 13: Investment Analysis F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 182 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY fs :M 042, 45 15 ³ 043, 36 : 3 044, 45 3 gi 033 045,43,33, 033 fs REGISTERS n: Life i: Unused PV: Dep. Value PMT: Unus e[...]

Section 13: Investment Analysis 183 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 183 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm RPN Mode: 6. Key in t he year des ired th en press . 7. Key in the n umber of months in first year * then press t . † The display will show the amount of depreciation for the de[...]

184 Section 13: Investment Analysis F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 184 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Keystrokes (ALG mode) Display 11 t ~ 11 t ~ 4.00 781.41 8,238.71 Fourth year: depreciation, remaining depreciable value. t ~ t ~ 5.00 746.02 7,492.69 Fifth yea[...]

Section 13: Investment Analysis 185 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 1 8 5 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY ? 4 008, 44 4 ~ 008, 34 d 009, 33 ³ 009, 36 ? 0 010, 44 0 ? 4 010, 44 4 1 011, 1 d 011, 33 ?- 0 012,44 30 0 d 012, 33 [...]

186 Section 13: Investment Analysis F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 186 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY gi 039 032,43,33, 039 ~ 032, 34 d 033, 33 : 0 033, 45 0 d 034, 33 1 034, 1 1 035, 1 go 035, 43 34 gu 036, 43 31 gi 043 03[...]

Section 13: Investment Analysis 187 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 18 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY go 056, 43 34 gi 058 056,43,33, 058 gi 086 057,43,33, 086 gi 070 057,43,33, 070 :$ 058, 45 13 d 058, 33 : 5 059, 45 5 0 [...]

188 Section 13: Investment Analysis F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 188 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY ?+ 3 080,44 40 3 fV 080, 42 23 d 081, 33 ?+ 1 081,44 40 1 : 0 082, 45 0 1 082, 1 1 083, 1 ?- 0 083,44 30 0 go 084, 43 34 [...]

Section 13: Investment Analysis 189 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 189 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm REGISTERS n: Life i: Factor PV: Dep. Value PMT: Unus ed FV: Salvage R 0 : Used R 1 : Dep. R 2 : Counter R 3 : Used R 4 : Used R 5 : Used R 6 : Used 1. Key in the program. 2. Press f[...]

190 Section 13: Investment Analysis F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 190 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Keystrokes (ALG mode) Display 500 M 500 M 500.00 Salvage value. 8 n 8 n 8.00 Life. 200 ¼ 200 ¼ 200.00 Declining-balance factor. 1 1 ³ 1.00 First year depr[...]

Section 13: Investment Analysis 191 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 191 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Ex cess Depr eciation When accelerat ed depreciation is used, the diff erence betwee n total depreci ation charged over a given period of time and th e total amount that would have [...]

192 Section 13: Investment Analysis F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 192 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Modified Internal Rate o f Retur n The traditional Intern al Rate of Return ( IRR ) techn ique has several drawbacks whi ch hamper its usefulness in some investment applications. T [...]

Section 13: Investment Analysis 193 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 193 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example: An investor ha s the following unco nventi onal investment oppo rtunity. The cash flows are: Group # of Months Cash Flow ($) 0 1 –180,000 1 5 100,000 2 5 –100,000 3 9 0[...]

194 Section 13: Investment Analysis F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 1 9 4 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Blac k - Scho les Formula for V alu ing European Op tions This program implements the Black-Sc holes formula w hich has been u sed extensively in option market s worldwide since i[...]

Section 13: Investment Analysis 195 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 195 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY g° 017, 43 23 } 017, 36 ~ 018, 34 ? 3 018, 44 3 z 019, 10 :$ 019, 45 13 gF 020, 43 40 z 020, 10 2 021, 2 : 4 021, 45 4 ?[...]

196 Section 13: Investment Analysis F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 19 6 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY 0 041, 0 } 041, 36 6 042, 6 Þ 042, 16 z 043, 10 g> 043, 43 22 1 044, 1 : 3 044, 45 3 + 045, 40 g¡ 045, 43 20 y 046,[...]

Section 13: Investment Analysis 197 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 1 9 7 of 27 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY : 3 065, 45 3 : 2 065, 45 2 ~ 066, 34 - 066, 30 ? 3 067, 44 3 2 067, 2 O 068, 35 4 068, 4 ~ 069, 34 § 069, 20 go 070, 4[...]

198 Section 13: Investment Analysis F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 198 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY ~ 089, 34 ?- 3 089,44 30 3 : 3 090, 45 3 Þ 090, 16 :$ 091, 45 13 ?§ 3 091,44 20 3 ?- 4 092,44 30 4 ~ 092, 34 § 093, 20[...]

Section 13: Investment Analysis 199 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 199 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY } 113, 36 ?+ 4 114,44 40 4 : 4 115, 45 4 ~ 116, 34 ? 5 117, 44 5 g( 000 118,43,33, 000 fs REGISTERS n: Term to expiry i: [...]

200 Section 13: Investment Analysis F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 200 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example 1: An option has 6 months to run and a strike price of $45. Find Call and Put values assuming a spot price of $52, retu rn volatility of 20.54% per month and a ris k-free in[...]

Section 13: Investment Analysis 201 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 201 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example 2: The stock price six months from the expiration of an option is $42, the exercise price of the option is $40, the risk -free interest rate is 10% per annum, and the volati[...]

202 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 202 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Secti o n 14 Leasing Adv ance P ay ments Situations may exist wh ere payments a re made in advance (leasi ng is a good example). Thes e agreements call for extra payments to be made when the trans actio n is cl os[...]

Section 14: Leasing 203 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 203 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example 1: Equipment worth $750 is le ased for 12 months. The equipment is assumed to hav e no salvage value at the end of the lease. The lessee has agreed to make three payments at the ti me o[...]

204 Section 14: Leasing F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 204 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY ¼ 008, 12 ¼ 008, 12 1 009, 1 1 009, 1 Þ 010, 16 Þ 010, 16 P 011, 14 P 011, 14 $ 012, 13 $ 012, 13 : 1 013, 45 1 + 013, 40 + 014, [...]

Section 14: Leasing 205 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 05 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example 2: Using the precedi ng program, solve f or the monthly paymen t using the information given in exampl e 1. Then change the yea rly interest to 15% and solve for the new pay ment amoun[...]

206 Section 14: Leasing F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 206 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Solving for Yield To calculate the peri odic yield, information is entered as follows: 1. Press g and f CLEAR G . RPN Mode: 2. Key in the t otal number of pay ments in the lease then press [...]

Section 14: Leasing 207 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 20 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Keystrokes (ALG mode) Display ¼ ¼ 1.44 Monthly yield (calculated). 12 § § 12 ³ 17.33 Annual yield (as a percentage). If solving for yie ld will be done repetitively,[...]

208 Section 14: Leasing F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 208 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY :gC 017,45,43 12 fs REGISTERS n: n–#Adv. Pmts. i: i PV: Used PMT: Pmt. FV: 0 R 0 : n R 1 : Adv. Pmts. R 2 : Pmt. R 3 : Loan R 4 –[...]

Section 14: Leasing 209 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 209 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Adv ance P a yments Wi th Residual Situations may arise where a trans action has advance payments and a resid ual value (salvage v alue) at the end of the norm al term. Solving for P ayment The[...]

210 Section 14: Leasing F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 210 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY n 018, 11 : 4 018, 45 4 1 019, 1 n 019, 11 Þ 020, 16 1 020, 1 P 021, 14 Þ 021, 16 $ 022, 13 P 022, 14 : 4 023, 45 4 $ 023, 13 + 024[...]

Section 14: Leasing 211 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 211 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm 7. For a new case, return to step 2. The values changed from the p revious case are the only val ues which ne ed to be re-ent ered. Example 1: A copier worth $22,000 is to be leased for 48 mont[...]

212 Section 14: Leasing F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 212 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Solving for Yield Solving for yield is essentially th e same as solvi ng for Internal Rate of Return ( IRR ). The keystrokes are as follows: 1. Press f CLEAR H . 2. Key in the amou nt of the fi[...]

213 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 213 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Secti o n 15 Savings Nominal Rate Converted to Effec tive Rate Given a nominal interest rat e and the number of compounding periods pe r year, this keystroke pr ocedure comput es the effecti ve annual intere st ra[...]

214 Section 15: Sa vings F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 214 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm For repeated calculations, th e following hp 12c platinum program can be us ed: KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY fs fs f CLEAR Π000, f CLEAR Π000, g 001, 43 8 [...]

Section 15: Savings 215 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 215 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm 1. Key in the program. 2. RPN: Key in the an nual nominal rate as a percentage then press . 2. ALG: Key in the an nual nom inal ra te as a perc entage then press ³ . 3. Key in the number of [...]

216 Section 15: Sa vings F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 216 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Example: Find the nominal rate compound ed quarterly if the effective annual rate is 5.35%. Keystrokes (RPN mode) Keystrokes (ALG mode) Display f] f[ f CLEAR G f CLEAR G 4 n 100 $ 4 n 100 $ 10[...]

217 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 217 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Secti o n 16 Bonds 30/3 60 Da y Basis Bonds A bond is a contract to pay interest, u sually semiannuall y, at a given rate (co upon) and to pay the princi pal of the bond at some specifi ed future date. A bond whic[...]

218 Section 16: Bonds F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 218 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY 1 014, 1 z 014, 10 8 015, 8 1 015, 1 0 016, 0 8 016, 8 z 017, 10 0 017, 0 n 018, 11 n 018, 11 gT 019, 43 24 gT 019, 43 24 1 020, 1 1 02[...]

Section 16: Bonds 219 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 219 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY : 1 039, 45 1 } 039, 36 : 6 040, 45 6 g( 000 040,43, 33, 000 + 041, 40 : 1 041, 45 1 Þ 042, 16 Þ 042, 16 $ 043, 13 - 043, 30 ¼ 044, [...]

220 Section 16: Bonds F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 220 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm 7. If price is desired: a. Key in the desired yield t o maturity as a p ercentage then p ress ? 0. b. Press t to cal culate price a s a percentag e of par valu e. c. RPN: Press ~ to display accru[...]

Section 16: Bonds 221 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 221 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Keystrokes (ALG mode) Display t t 103.41 Price to yield 4.5% (calculated). ~ +~ 1.33 Accrued interest (calculated). + ³ 104.74 Total price paid. Example 2: The market is qu[...]

222 Section 16: Bonds F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 22 2 of 27 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Annual Coupon Bonds For bonds whi ch have annual cou pons, use the following hp 12c platinum program to ev aluate price an d accrued interes t on an Actual/A ctual day basi s. This program may be[...]

Section 16: Bonds 223 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 22 3 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm KEYSTROKES (RPN mode) DISPLAY KEYSTROKES (ALG mode) DISPLAY gÒ 019, 43 26 : 5 019, 45 5 ? 7 020, 44 7 gÒ 020, 43 26 : 6 021, 45 6 ? 7 021, 44 7 : 4 022, 45 4 : 6 022, 45 6 gÒ 023, 43 26 : 4 0[...]

224 Section 16: Bonds F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 22 4 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm REGISTERS n: Used i: Yield PV: U sed PMT: Cpn. or 0 FV: Used R 0 : # Periods (n ) R 1 : Yield R 2 : Coupon R 3 : Redemption R 4 : Settlement R 5 : Next Cpn. R 6 : Last Coupon R 7 : Used R 8 –R[...]

Section 16: Bonds 225 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 22 5 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Keystrokes (ALG mode) Display 100 ? 3 100 ? 3 100.00 Redemption value. 8.152004 ? 4 8.152004 ? 4 8.15 Settlement date. 12.012004 ? 5 12.012004 ? 5 12.01 Next coupon date. t[...]

[...]

F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 22 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Appendices[...]

228 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 22 8 of 27 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Appendi x A RPN and the Stack In RPN mode, fo ur special re g isters in the hp 1 2c platinum are used for storin g numbers durin g calculations. To understand how these re g isters are u sed, they should be visual[...]

Appendix A: RPN and the Stack 229 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 22 9 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Now let’s see what ha ppens in the stack during a chain calculation in RPN mode : 7 ) 6 5 ( ) 4 3 ( × + × See how the int ermediate re sults are not only di splayed when t hey ar[...]

230 Appendix A: R PN and the Stack F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 30 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm T er minatio n of Digit En try The first digit keyed in after digit entry has been termin ated replaces the number already in the displayed X-register. Digit entry is autom atically[...]

Appendix A: RPN and the Stack 231 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 31 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm One - Number Func tions an d the Stac k One-number mathemati cs and number-alte ration functions — y , r , ° , > , ¡ , e , B , Ñ , and T — use only th e number in the displ[...]

232 Appendix A: R PN and the Stack F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 3 2 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm When an arithmetic operation or q is performed, the answer is placed in the X-register , the number form erly in the X-regist er is copied into the LAST X re gister, and the stack [...]

Appendix A: RPN and the Stack 233 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 3 3 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Calendar and Fi nancial Fu nctions The following table shows what quantity is in each sta ck register after t he indicated calendar or financial function ke y is pressed. The symbol[...]

234 Appendix A: R PN and the Stack F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 34 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm The LAST X R egister and th e Key The number in the disp layed X- register is copied into the LAST X register whenever any o f the following function keys is presse d: + - § z y q [...]

Appendix A: RPN and the Stack 235 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 23 5 of 27 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Virtually ev ery chain ca lculation yo u are likely to encou nter can be done us ing only the four st ack registers. Howe ver, to avoid having to store an intermediat e result in a st[...]

236 Appendix A: R PN and the Stack F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 23 6 of 27 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (RPN mode) Display 84000 84,000. Enters base amount into displayed X-register. § 168,000.00 Annual sales after first year. § 336,000.00 Annual sales after second yea r. [...]

237 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 3 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Appendi x B Algebraic Mode (ALG) Although most of this material is includ ed at the approp riate places througho ut this manual, it is collec ted here for eas y reference. To select algebraic mode, press f[ . Wh[...]

238 Appendix B: Algebraic Mode (ALG) F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 38 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display 90.89 } –13.54 } completes the calculation. 65 gr§ 12 } 96.75 New calculation: 12 65 × z 3.5 } 27.64 Calculates 96.75 ÷ 3.5 You can also do long[...]

Appendix B: Algebraic Mode (ALG) 239 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 3 9 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Keystrokes (ALG mode) Display OO 0.00 Clears any pend ing operations. 456 - 75 z 381.00 18.5 § 20.59 68 z 1,400.43 1.9 } 737.07 Th e Key i n A LG M o d e LAST X in ALG mode is n[...]

240 Appendix B: Algebraic Mode (ALG) F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 40 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm The stack diagrams sh owing the output for the Calendar and Fin ancial functions on page 233 are the same for ALG as R PN mode. To add INT and PRICE after executing the bond E fun[...]

Appendix B: Algebraic Mode (ALG) 241 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 41 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm P ercenta ge Functions In most cases, b divides a number by 100. The one excepti on is when a plu s or minus sign precedes the nu mber. For instance, 25 b results in 0.25. To find[...]

242 Appendix B: Algebraic Mode (ALG) F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 4 2 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Pe r c e n t o f To t a l To calculate what pe rcentage one n umber is of anoth er: 1. Calculate the total amount by adding all individual amo unts. 2. Key in the n umber whose p[...]

243 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 43 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Appendi x C More About L Given a sequence of positive and negative cash flows, we hop e that there is enough information to determine w hether an IRR answer exists, and what that answer is. For th e vast majority[...]

244 Appendix C: More About L F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 44 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Searching for IRR. You can contin ue searchin g for IRR sol utions, even after an Error 3 indication, as follows: 1. Make a guess for the interest rate and key it in. 2. Press :gt . Your [...]

245 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 4 5 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Appendi x D Error Conditions Some calculator operation s cannot be p e rformed unde r certain conditions (for example, z when x = 0). If you at tempt such an oper ation unde r these condition s, the calculator w[...]

246 Appendix D: E rror Conditions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 46 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Err or 1 : Stor age R egister Overflo w Operation Condition ?+ (0 through 4) ?- (0 through 4) ?§ (0 through 4) ?z (0 through 4) A Magnitude of result is greater than 9.999999999×10[...]

Appendix D: Error Conditions 247 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 4 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Error 5: Compound Interest Operation Condition n i = 0 and PMT = 0 PMT is between FV × d and –PV × d , inclusive, where d = ) 100 1 ( ) 100 ( S i i × + , where S=0 for EN D mode[...]

248 Appendix D: E rror Conditions F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 48 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Err or 6: Stor age Regis ters Operation Condition ? : Storage regist er specified do es not exist or has been converted to program lines. K a n specifies a storage regist er that doe[...]

Appendix D: Error Conditions 249 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 4 9 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Error 8: Cale ndar Operation Condition Ò D Improper date format o r illegal date. D Attempting to add days beyond calculator’s date capacity. E S Improper date format o r illegal [...]

250 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 25 0 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Appendi x E Formulas Used Pe r c e n t a g e 100 ) Rate( ) Base( % x y × = ⎟ ⎟ ⎠ ⎞ ⎜ ⎜ ⎝ ⎛ − = ∆ ) Base( ) Base( ) NewAmount( 100 % y y x ⎟ ⎟ ⎠ ⎞ ⎜ ⎜ ⎝ ⎛ = ) Total( ) Amount( [...]

Appendix E: Formulas Used 251 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 251 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Compound Interest Without an odd period: n n i FV i i PMT iS PV − − + + ⎥ ⎥ ⎦ ⎤ ⎢ ⎢ ⎣ ⎡ + − ⋅ ⋅ + + = ) 1 ( ) 1 ( 1 ) 1 ( 0 With simple intere st used for an odd[...]

252 Appendix E: Formulas Used F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 25 2 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Discounted Cash Flow Analy sis Net Pre sent V alue NPV = net present value of a di scounted cas h flow. CF j = cash flow at period j . n n i CF i C F i CF CF NPV ) 1 ( ... ) 1 ( ) 1 ( 2 [...]

Appendix E: Formulas Used 253 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 25 3 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Bonds Reference: Jan Mayle, TIPS Inc. , Standard Securities Calculation Methods , Volume 1, Th ird Edition, Securities Industry Association Inc., New York, 1993. DIM = days between issue[...]

254 Appendix E: Formulas Used F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 254 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Black-Sch oles Formul a for Valuin g European O ptions P = current asset price. r% = risk-fre e rate (continuous, per time unit). s% = volatility (continu ou s, per time unit) . T = term [...]

Appendix E: Formulas Used 255 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 25 5 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Str aight-L ine Depreci ation Keyboard functi on: L SAL SBV DPN J − = for j = 1, 2, …, L Program for part ial first yea r: 12 1 1 Y L SA L SB V DPN ⋅ − = L SAL SBV DPN J − = fo[...]

256 Appendix E: Formulas Used F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 25 6 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm L FACT RBV DPN j j 100 1 ⋅ = − for j ≠ 1 Modified Internal Rate o f Retur n n = number of compou nding periods. NFV P = Net future value of the positive cash flows. NPV N = Net pre[...]

Appendix E: Formulas Used 257 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 25 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Stati sti cs Mea n n x x ∑ = n y y ∑ = We i g h t e d M e a n ∑ ∑ = w w x x w Linear Estima tion n = number of data pai rs B x A y + = ˆ B A y x − = ˆ where () n x x n y x xy[...]

258 Appendix E: Formulas Used F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 25 8 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Th e Re n t o r B uy D e c i s i o n Market Value = PRICE(1 + I ) n where: I = appreciation per year (a s decimal) n = number of years Net Cash Proce eds on Resale = Market Value – Mor[...]

259 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 25 9 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Appendi x F Battery, Warranty, and Service Information Battery The hp 12c platinum is shipped with one 3 Volt CR2032 Lithium battery. Battery life depends on how t he calculator i s used. If the calculator is bei[...]

260 Appendix F: B attery, Warra nty, and Servi ce Information F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 26 0 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Installing a N ew Battery The contents of t he calculator’s Contin uous Memor y are preserved f or a short time while the battery is out of the c alcula[...]

Appendix F: Battery, Warra nt y, and Service Information 261 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 61 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm V erify ing Pr oper Opera tion (S elf - T ests) If it appears that the calculator will not tu rn on or otherwise is not operating properly, use one of the [...]

262 Appendix F: B attery, Warra nty, and Servi ce Information F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 6 2 of 27 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Note: Tests of the cal culator’s electronics a re also performed if the = ke y or the z k e y is hel d do wn w h e n ; is released. * These tests a re i[...]

Appendix F: Battery, Warra nt y, and Service Information 263 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 6 3 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Wa r r a n t y hp 12c platinum Financial Calcu lator; Warranty peri od: 12 months 1. HP warrants to you, the end-us er customer, th at HP hardware, a cces[...]

264 Appendix F: B attery, Warra nty, and Servi ce Information F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 64 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Some countries, States or p rovinces do not allow the e xclusion or limitation of incidental or conseque ntial damages, so the abov e limitation or exclus[...]

Appendix F: Battery, Warra nt y, and Service Information 265 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 26 5 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Asia Pacific Coun try : Telephone numbers Australia +61-3-9841-5211 Singapore +61-3-9841-5211 L.America Coun try : Telephone number s Argentina 0-810-555-5[...]

266 Appendix F: B attery, Warra nty, and Servi ce Information F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 66 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm installation. In the unlikely event that ther e is interferen ce to radio or t elevision reception(which can be determined b y turning the calculator o ff[...]

26 7 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 6 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Appendi x G United Kingdom Calculations The calculations fo r most financial proble ms in the United Kingdom are identical to the calculations fo r those problems in the United States — which are des cribed e[...]

268 Appendix G: United Kingdom Calculations F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 68 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Annual P ercentage Rate (APR) Calcul ations In the United Kin gdom, the calcul ation of the An nual Perce ntage Ra te of Charge (APR) in accordance with the United Kingdom [...]

269 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 6 9 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Function Key Index General ; Power on /off key (page 16) . f Shift key. Selects alternate function in gold above the function keys (page 16) . Also used in display formatting (page 87) . g Shift key. Selects alt[...]

270 Function Key Index F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 7 0 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Financial CLEAR G Clea rs contents of financial registers (pag e 42) . × Sets payment mode to Begin for compound interest calculations involving payments (page 46) . Â Sets payment mode to E[...]

Function Key Index 271 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 71 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Ö Computes m ean (average) of x-value s and y-value s using accumulated stat istics (page 94) .  Computes w eighted average of y- (item) and x -(weight) values using accumulated stat istics[...]

272 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 7 2 of 27 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Programming Key Index s Program/Run. Toggles into and out of P rogram mode. Automatically sets program to line 000 when returning to Run mode (page 86) . N Mem ory map . De scri bes the cur rent all oca tio n of [...]

Programming Key Index 273 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 7 3 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Program Mode Run Mode Active Keys: i Go to. Foll owed by a decimal point and a three-digit number, positions calculat or to that line in program memory. No instructions are executed (page 1[...]

27 4 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 27 4 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Subject Index A , 13, 6 9 , 2 30 Adding instr ucti ons, 14 0–4 8 Adjusting the Displa y Contr ast , 16 Ad vance pa yme nts, 20 2 , 209 Algebr aic mode , 20, 2 3 7 Amortiz ation, 4 8 , 6 9–71, 251 An n u a l [...]

Subject Index 275 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 27 5 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm Compo und int er est , 4 9–6 8 , 2 51 Compound inter est calc ulation , 12 Compou nd ing pe riods, 44, 49 Conditional branching , 12 9–30 Conditio nal test instruc tions , 12 9 Constants, arithm[...]

276 Subject Index F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 2 7 6 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm 14 3, 2 30 , 114, 13 9 000, 112–13 I , 13, 41, 4 2 , 42, 23 0 , 13, 7 2 , 7 3, 7 8, 2 4 3 , 101, 2 31 Indicato rs , stat us , 8 7 Instructions i n progr am lines, 108 Interest r ate , annual, 5 5[...]

Subject Index 277 F ile name: hp 12c pt_user's guide_English_HDPMF12 3E2 7 P age: 27 7 of 2 7 5 Print ed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm , 41, 4 2 , 5 5 P arentheses Calculations, 2 6 , 2 40 P ar tial-year deprec iation , 171 P ayment , 4 5, 209 P aymen t amount , calculating , 5 9 Pa y m e n t m o d e , 46 P ayments, ad vance , 20 2[...]