Present Value Example: Calculator Solution

Follow the steps below to find the Present Value using the Texas Instruments BA II Plus calculator.

First, set the calculator for quarterly compounding.
[2nd][P/Y] 4 [Enter]
P/Y = 4 [2nd][Quit]
Clear the calculator
[2nd][CLR TVM] [2nd][Quit]
Enter the future value, interest rate, and number of periods (mt).
100 [FV]
12 [I/Y]
12 [N]
[CPT] [PV]
The Present Value is $70.14

 

© 2002 - 2010 by Mark A. Lane, Ph.D.