CALCULATE: If you know the loan amount and the
periodic payments, this will calculate your return on investment.
You are willing to loan me $35,000 and I will pay you back in equal
payments of $800 per month, for 5 years, what is your rate of
return on this investment. (or in otherwords, what interest rate am I paying)
note:The key changes the 800 to a
negative number.With the HP12C all
cash outlays should be entered in as a negative number. The result of 1.10
is a monthly return on investment. You must multiple by 12
to get your annual return of 13.20.
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