Casio fx-9750G PLUS - Manual (Page 355)

327
n
PMT = –
PV + FV
PMT
n = –
PV + FV
• A deposit is indicated by a plus sign (+), while a withdrawal is indicated by a
minus sign (–).
u u u u u Converting between the nominal interest rate and effective
interest rate
The nominal interest rate ( I % value input by user) is converted to an effective
interest rate ( I %') when the number of installments per year ( P/Y ) is different from
the number of compound interest calculation periods ( C/Y ). This conversion is
required for installment savings accounts, loan repayments, etc.
I%' =
I%
(1+ ) –1
[C / Y ]
[P / Y ]
100 × [C / Y ]
{ }
×100
P/Y : installment
periods per year
C/Y : compounding
periods per year
When calculating n , PV , PMT , FV
The following calculation is performed after conversion from the nominal interest
rate to the effective interest rate, and the result is used for all subsequent
calculations.
i = I%' ÷100
When calculating I %
After I % is obtained, the following calculation is performed to convert to I %'.
I%' =
I%
(1+ ) –1
[C / Y ]
[P / Y ]
100
{ }
×[C / Y ]×100
P/Y : installment
periods per year
C/Y : compounding
periods per year
The value of I %' is returned as the result of the I % calculation.
Press 2 (CMPD) in the Financial 1 screen to display the input screen for
compound interest calculation.
n ..................... number of compound periods
I % ................... annual interest rate
PV .................. present value (loan amount in case of loan; principal in case
of savings)
Compound Interest Calculations
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