Victor Technology V12 - Manual (Page 25)

V I C T O R T E C H N O L O G Y
25
b NPV
60,301.37
Displays the net present value of $60,301.37.
Since the number is positive, this is an investment
that exceeds the desired rate of return.
Replacing Current Cash Flow Value Data
Individual cash flow values stored in the V12 can be replaced. To replace a
current cash flow value:
¾ Enter the amount
¾ Touch STO
¾ Enter the number of the CF
j
register to be replaced
Example
Starting from the previous example (A landlord buys and rents a building to a
tenant for 8 years. The landlord pays $500,000 for the building, etc.), the
landlord changes his assumptions. He now believes the net cash flow will be
only $110,000 per year in years 5 through 8 instead of $120,000 per year.
ENTRIES (RPN) DISPLAY
110000 STO 3
110,000.00
Displays $110,000 as the new cash flow amount
stored in the 3
rd register CF
3
b NPV
43,977.94
Displays the revised net present value of
$43,977.94.
To replace the number of consecutive equal cash flows, (the N
j
of a CF
j
) :
¾ Touch RCL n to recall how many cash flow amounts are stored.
¾ Save the number of the cash flow value (the j) into the n register
¾ Enter the revised number of times the value occurs consecutively
¾ Touch r N
j
to store the revision
¾ Enter the original number of cash flows back into the n register
(otherwise the NPV calculation will be wrong)