IREM QUICK REFERENCE GUIDE FOR HP10IIB CALCULATOR

KEYSTROKE(S) [SHIFT] [STATS] [ON] [SHIFT] [ON] [SHIFT] [N] [SHIFT] [I/YR] [PV] [PMT] [SHIFT] [SHIFT] [INPUT] [MU] [CST] [PRC] [MAR] [CFj] [+/-] [SHIFT] [SHIFT] [SHIFT] [SHIFT] [STATS] [STATS] [SHIFT] [xP/YR] PURPOSE The orange shift key accesses the alternate function printed on the lower half of the keys. The mauve stats key accesses the alternate function printed above the keys in mauve. Turns the calculator on. Turns the calculator off. Changes the contrast of the display by simultaneously pressing the [ON] key and the [+] or [-] key. Sets the number of decimal points displayed. Finds/stores the total number of periods the investment is compounded/discounted. Stores the number of periods after multiplying the term by the payments per year. Finds/stores the interest rate per year. Finds/stores present value. Finds/stores payment per period. Stores the number of periods per year (monthly, annually, etc.). Finds/stores future value. Creates an amortization table. Stores parameters for multi-variable functions. Finds/stores markup percentage. Finds/stores cost before markup. Finds/stores price after markup. Finds/stores margin percentage after markup. Stores cash flows. Changes the sign of the number in the display. Stores the number of times the same cash flow amount occurs consecutively. Finds internal rate of return. Finds net present value. Retrieves data already entered in a memory register. Store a number to a memory register. Displays the number of entries in a statistics list. Sums entries in a statistics list. Calculates the mean of entries in a statistics list.

CLEARING THE CALCULATOR

Keystrokes [] [C] [SHIFT] [C ALL] [SHIFT] [CL] Results Clears one character. (Note that if you have already pressed [=], [INPUT] or one of the function keys, then [] will clear the entire display. Clears entire display. Clears entire display and all memorized values. Clears entire display and statistical memory.

[ON] [+] [-] [DISP]

CHANGING THE DECIMAL PLACE DISPLAY

Press [SHIFT] [DISP]. Press the number of digits (0-9) desired in the display.

SETTING PERIODS PER YEAR

Period Annual Monthly Keystrokes 1 [SHIFT] [P/YR] 12 [SHIFT] [P/YR] Display 1 12

[P/YR] [FV] [AMORT]

DISPLAYING PERIODS PER YEAR

[RCL] [SHIFT] [P/YR] Keep keys pressed to display the number of periods set.

TIME VALUE OF MONEY CALCULATIONS

To solve for one of the TVM registers, you must enter non-zero values in three of the other four registers (the HP10BII will assume that the value for the fourth register is zero). To Solve for Payment 1. Clear all registers. 2. Store the amount of the loan. 3. Store the annual nominal interest rate 4. Store the number of payments 5. Press the payment key Keystrokes [SHIFT] Amount Rate Payment [PMT] [C ALL] [PV] [I/YR] [N]

[Nj] [IRR/YR] [NPV] [RCL] [STO] [n] [x] __ [x ,y ]

Copyright 2003, Institute of Real Estate Management

IRR AND NPV

To Solve 1. Organize the cash flows on paper. 2. Clear the cash flow registers. 3. Enter the number of periods per year. 4. Enter the amount of the initial investment. 5. Enter the amount of the next cash flow. 6. If the amount in step 5 occurs more than once consecutively, enter the number of occurrences. 7. Repeat steps 5 and 6 for each cash flow or cash flow group. 8. Solve for IRR, OR 9. Enter the annual interest rate and solve for NPV.. Keystrokes [SHIFT] [SHIFT] [CFj] [CFj] [SHIFT] [SHIFT] [I/YR] [SHIFT] [C ALL] [P/YR]
Keystrokes 12 [SHIFT] [Nj] 5000 [+] 5 [%] [=] [SHIFT] [STO] 0 [CFj] Display C-FLOW N C-FLOW N 5,250.00 5,250.00 C-FLOW CF C-FLOW CF C-FLOW N C-FLOW N 5,250.00 5,512.50 5,512.50 C-FLOW CF C-FLOW CF C-FLOW N C-FLOW N 5,512.50 5,788.13 5,788.13 C-FLOW CF C-FLOW CF C-FLOW N C-FLOW N 5,788.13 6,077.53 C-FLOW CF C-FLOW CF C-FLOW N C-FLOW N 7.50 331,537.88 60.00 -5,552.63 -66,307.58 1 12.00 Results Store the number of occurrences that $5,000 rent is paid Calculate the second years rent Memorize the second years rent Store the second years rent as a cash flow Store the number of occurrences that $5,250 rent is paid Recall the second years rent Calculate the third years rent Memorize the third years rent Store the third years rent as a cash flow Store the number of occurrences that $5,512.50 rent is paid Recall the third years rent Calculate the fourth years rent Memorize the fourth years rent Store the fourth years rent as a cash flow Store the number of occurrences that $5,788.13 rent is paid Recall the fourth years rent Calculate the fifth years rent Store the fifth years rent as a cash flow Store the number of occurrences that $6,077.53 rent is paid Store the annual interest rate Calculate the net present value of the cash flow series Store the number of payments made over the 5-year period Calculate the effective monthly rent Calculate the effective annual rent

2 5,250.00 2 12.00

[Nj] [IRR/YR] and [NPV].

12 [SHIFT] [Nj] [RCL] 0 [+] 5 [%] [=] [SHIFT] [STO] 0 [CFj] 12 [SHIFT] [Nj] [RCL] 0 [+] 5 [%] [=] [SHIFT] [STO] 0 [CFj] 12 [SHIFT] [Nj] [RCL] 0 [+] 5 [%] [=] [CFj] 12 [SHIFT] [Nj] 7.5 [I/YR] [SHIFT] [NPV] 5 [SHIFT] [P/YR] [PMT] [] 12 [=]

AMORTIZATION TABLES
To Solve 1. Clear all registers. 2. Store the amount of the loan. 3. Store the annual nominal interest rate. 4. Store the number of payments. 5. Press the payment key. 6. View amortization for the first year. 7. Retrieve the principal amount. 8. Retrieve the interest amount. 9. Retrieve the balance. 10. View the next range of payments, repeat steps 6-9. Keystrokes [SHIFT] [C ALL] [PV] [I/YR] [N] [PMT] [SHIFT] [AMORT] [=] [=] [=]

3 5,512.50 3 12.00

4 5,788.13 4 12.00 5 6,077.53 5 12.00

PRACTICE PROBLEM
A five-year lease has initial payments of $5,000.00 per month due at the beginning of each month, with a 5%-per-year escalator clause. Using a discount rate of 7.5%, you could calculate the effective annual rent on the HP10BII as follows:
Keystrokes [SHIFT] [C ALL] 12 [SHIFT] [P/YR] [SHIFT] [BEG/END] 0 [CFj] 5000 [CFj] Display 1 P_Yr 0.00 12.00 BEGIN C-FLOW CF C-FLOW CF C-FLOW CF C-FLOW CF 12.00 0 0.00 1 5,000.00 Clear all data Set for 12 payment periods per year Payments occur at the beginning of the compounding period Store the initial investment Store the first years rent as a cash flow Results

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