Scenario B: If V0 = 100.000, V1 = 100*(1 - 0.10) = 90, V2 = 90*(1.25) + 20 = 132.50, V3 = 132.5*(0.95) = 125.875, V4 = 125.875*(1.30) = 163.6375, V5 = 163.6375*(1.05) = 171.819
171.819 = 100(1+R)5 + 20(1+R)3
Keystrokes on the TI BAII Plus® to solve for R:
|
CF |
2nd |
CLR WORK |
|
100 |
ENTER |
↓ |
|
0 |
ENTER |
↓ ↓ |
|
20 |
ENTER |
↓ ↓ |
|
0 |
ENTER |
↓ ↓ |
|
0 |
ENTER |
↓ ↓ |
|
-171.819 |
ENTER |
|
|
IRR CPT |
→ 7.96 |
|
Scenario C: If V0 = 100.000, V1 = 100*(1 - 0.10) = 90, V2 = 90*(1.25) - 10 = 102.50, ..., V5 = 132.917
132.917 = 100(1 + R)5 - 10(1 + R)3
Keystrokes on the TI BAII Plus® to solve for R:
|
CF |
2nd |
CLR WORK |
|
100 |
ENTER |
↓ |
|
0 |
ENTER |
↓ ↓ |
|
-10 |
ENTER |
↓ ↓ |
|
0 |
ENTER |
↓ ↓ |
|
0 |
ENTER |
↓ ↓ |
|
-132.917 |
ENTER |
|
|
IRR CPT |
→ 7.78 |
|
