Calculated Industries 3430-KIT - Manual (Page 31)

30 — Q
UALIFIER
P
LUS
® III
FX
Simple Interest vs. Compound Interest
If you borrow $5,000 at 6% simple interest, how much will you owe
at the end of 5 years?
Note: This is a simple math problem and does not require the use of TVM keys.
STEPS KEYSTROKES DISPLAY
Clear calculator o o 0.00
Multiply loan amount
by interest 5 ) x 6 % = 300.00
Multiply by term x 5 = 1,500.00
Add original loan amount + 5 ) = 6,500.00
If the loan is compounded monthly, what will you owe?
STEPS KEYSTROKES DISPLAY
Clear calculator o o 0.00
Enter loan amount 5 ) l 5,000.00
Enter term in years 5 T 5.00
Enter annual interest rate 6 ˆ 6.00
Find future value s l “run” 6,744.25
Sales Price/Down Payment
One of the unique features of this calculator is its ability to work with
not only Loan Amount, but with Sales Price and Down Payment. You
can enter two values to find the third (e.g., enter Price and Down
Payment to find Loan Amount). You may also enter the Down
Payment in both percent or dollar format. For example, to enter
20%, enter 20 and press the
d key (you do not have to label it as
a percent). Or enter $20,000 (e.g., 2 0 ) d ).
Note: A number under 100 entered as the Down Payment is assumed to be a
percentage.
Note: When using P , d , and l keys, it's recommended that you always enter
the two known values (Price and Down Payment), then solve for the third (Loan
Amount), before calculating financial values.
Finding Loan Amount Based on Sales Price and Down Payment
Find both the Down Payment dollar amount and loan amount if the
sales price is $250,000 and you're planning to put 20% down.
STEPS KEYSTROKES DISPLAY
Clear calculator o o 0.00
Enter sales price 2 5 0 ) P 250,000.00
Enter Down Payment % 2 0 d 20.00
Find Down Payment $ d 50,000.00
Find Loan Amount l 200,000.00