(12C) Simple Interest
11-23-2023, 05:40 AM
Post: #1
 Eddie W. Shore Senior Member Posts: 1,581 Joined: Dec 2013
(12C) Simple Interest
Simple Interest Formula

T = B + B × R% × N = P × (1 + R% × N)

T = total future value (uses the FV register)
B = beginning value (uses the PV register)
R = annual interest rate (uses the i register)
N = time in years (uses the n register)

The program uses four of the TVM registers for the purpose of storing registers in a convenient way.

HP 12C Code: Simple Interest

Step : Key Code : Key

# Solve for the future value, GTO 01, R/S

Code:
01:  __, 45, 13:  RCL PV 02:  __, 45, 12:  RCL i 03:  __, 45, 11:  RCL n 04:  __, __, 20:  × 05:  __, __, 25:  % 06:  __, __, 40:  + 07:  __, 44, 15:  STO FV 08:  43, 33, 00:  GTO 00

# Solve for the present value, GTO 09, R/S

Code:
09:  __, 45, 15:  RCL FV 10:  __, __, _1:  1 11:  __, 45, 12:  RCL i 12:  __, 45, 11:  RCL n 13:  __, __, 20:  × 14:  __, __, 25:  % 15:  __, __, 40:  + 16:  __, __, 10:  ÷ 17:  __, 44, 13:  STO PV 18:  43, 33, 00:  GTO 00

# Solve for the time in years, GTO 19, R/S

Code:
19:  __, 45, 15:  RCL FV 20:  __, 45, 13:  RCL PV 21:  __, __, 10:  ÷ 22:  __, __, _1:  1 23:  __, __, 30:  - 24:  __, 45, 12:  RCL i 25:  __, __, 10:  ÷ 26:  __, __, _1:  1 27:  __, __, 26:  EEX 28:  __, __, _2:  2 29:  __, __, 20:  × 30:  __, 44, 11:  STO n 31:  43, 33, 00:  GTO 00

# Solve for the interest rate, GTO 32, R/S

Code:
32:  __, 45, 15:  RCL FV 33:  __, 45, 13:  RCL PV 34:  __, __, 10:  ÷ 35:  __, __, _1:  1 36:  __, __, 30:  - 37:  __, 45, 11:  RCL n 38:  __, __, 10:  ÷ 39:  __, __, _1:  1 40:  __, __, 26:  EEX 41:  __, __, _2:  2 42:  __, __, 20:  × 43:  __, 44, 12:  STO i 44:  43, 33, 00:  GTO 00

Summary

T = B + B × R% × N

To solve for T: GTO 01, [ R/S ]
To solve for B: GTO 09, [ R/S ]
To solve for N: GTO 19, [ R/S ]
To solve for R: GTO 32, [ R/S ]

Examples

1. What is the interest rate required if you begin with $1,000.00 and end up with$1,135.00 in 5 years? Assume that account accrues using simple interest.

1000 [ PV ]
1135 [ FV ]
5 [ n ]
GTO 32, [ R/S ]

2. An auto loan of $8,000.00 is to paid back in 60 monthly payments (5 years). The loan's rate is 6% at simple interest. What is the monthly payment of this loan? The first step is to find the total amount: 8000 [ PV ] 6 [ i ] 5 [ n ] GTO 01, [ R/S ] T =$10,400.00 (total plus interest)

[ RCL ] [ FV ] 60 [ ÷ ]

Monthly payment with simple interest: \$ 173.33

Source

Hayes, Adam. "Simple Interest: Who Benefits, With Formula and Example" Investopedia. Last updated May 27, 2023. Retrieved November 19, 2023.
URL: https://www.investopedia.com/terms/s/sim...terest.asp
 « Next Oldest | Next Newest »

User(s) browsing this thread: 1 Guest(s)