Calculating internal rate of return, Example – HP 10B User Manual
Page 86
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Calculating Internal Rate of Return
1. Press BICLEAR ALU, store number of periods per year in
P/YR.
2. Enter the cash flows using (CF^ and (Nfl.
3. Press II
1
шгдп
When you calculate
¡RR/YR^
you get llic annual nominal rate that gives
an
NPV
of /его.
The following example uses the cash flows that were entered in the
previous example.
More than one
IRR/YR
can exist. If you get the no SoLution message see
Appendbc В (page 127).
Example.
If the seller of the contract in the previous example wants
$28,000 and you accept that price, what is your yield? This is an
IRR/YR
calculation that requires a slight modification to the currently stored cash
flows.
6: Cash Flow Calculations $3