IO00 points to 2 decimal piaces eg 3216 Worksheet Section 5

IO00 points to 2 decimal piaces eg 32.16) Worksheet Section: 5 2 Valuing Level Cash Flows and

Solution

Using financial calculator BA II Plus - Input details:

#

PV = Present Value of loan =

-$61,000

FV =

$0

N = Total terms =

                                   78

PMT = Payment per month =

$1,000.00

CPT > I/Y = Monthly Rate =

                    0.0065148

Yearly interest rate = Monthly rate x 12 = Rate =

7.82%

Using financial calculator BA II Plus - Input details:	#
PV = Present Value of loan =	-$61,000
FV =	$0
N = Total terms =	78
PMT = Payment per month =	$1,000.00
CPT > I/Y = Monthly Rate =	0.0065148
Yearly interest rate = Monthly rate x 12 = Rate =	7.82%