© Copyright 2021 HP Development Company, L.P. Modeled after the extremely popular 10bii Financial Calculator by Hewlett Packard, the 10bii Financial Calculator combines precise mathematics, intuitive display, and ease-of-use … Drop us a line and let us know. HP can identify most HP products and recommend possible solutions. For a more in depth look at the logic and intuition behind the time value of money, check out What You Should Know About The Time Value of Money. Additionally, we took a look at some common mistakes people make when learning how to use a financial calculator and we showed you how to avoid making these errors. It’s for beginners who want a head start and industry professional who want to plug the gaps in their education. Of course, most people don't recognize … We’ll cover how to use these keys in more detail below, but here’s where these keys are located on the HP 10BII: You probably already noticed the solid purple and gold keys. As you can see these are easy to find and we have clearly labelled this section in red below. The cash flow number is displayed as long as the, The cash flows that describe the prospective investment are now in the calculator. What are the monthly payments on a 30 year loan of $300,000 at a annual rate of 4.5% compounded monthly? How to Use a Financial Calculator is an online interactive video-based course that teaches you how to use an HP 10BII financial calculator step by step. The factory programmed functions of the calculator wil never be erased/lost if both batteries are removed. Then, how do I use my hp10bii financial calculator? Turning the HP 10BII on and off is pretty simple. Knowing this we can simply plug those 4 components into the calculator and solve for future value FV, which is $140,710. This is not a programmable calculator, so no user programs that can be erased. Enters initial cash flow of zero. Press. We’ll demonstrate this process below, but here’s where these keys are located in case they didn’t already stand out to you: Now that we have a general feel for how the financial calculator is organized, let’s go over some frequently used functions and useful settings you should understand. The HP 10BII financial calculator has a built in settings for payments per year that attempts to auto-adjust the interest rate based on how many periods there are in a year. Assuming you’re snug with the time worth of cash, let’s next get familiar with the layout of the HP 10BII monetary calculator. The 10bii Financial Calculator is a versatile and powerful financial calculator which features more than 105 different functions for financial analysis, business, statistics, and general mathematics. {{#each this}} To solve for the number of periods, let’s take another variation of the present value problem above. For example, if the number of periods (N) in the problem is monthly, then the interest rate (I) and payments per period (PMT) must also be expressed monthly. In this article we’ll solve all of these problems by taking a deep dive into how to use a financial calculator. Understanding the Construction Draw Schedule, How to Calculate an Interest Reserve for a Construction Loan, Press a number (0-9) where you’d like to store the value, Press a number (0-9) where you previously stored a value, Learn the HP 10BII financial calculator step by step, Includes a complete time value of money crash course, Includes commercial real estate specific problems and solutions, Press the PV key to solve for the present value, Press the FV key to solve for the future value, Press the PMT key to solve for the payment, Press the I/YR key to solve for the interest rate, Press N to solve for the number of periods. There are many features of the HP 10BII that we did not cover in this article, but the elements we discussed will give you a solid foundation. All of the other fancy-looking keys might make things confusing at first, but these math functions should make you feel right at home. If the calculator displays NO SOLUTION, there is no answer. This is particularly useful when you are calculating multiple figures that then later need to be used in a final calculation. We specifically focused on the HP 10BII and detailed how the calculator is organized, how to perform common calculations and functions, and finally we covered how to use the time value of money keys along with step by step examples. The clear all function will immediately clear out all of your prior work so you can start a new problem with a clean slate. This is, after all, what a financial calculator is built for. This HP calculator has an intuitive keyboard layout, and minimal keystrokes are required for many common functions. This result shows that if a yearly yield of 15 percent is to be earned, then $27,199.92 should be paid for the contract. 10bii Financial Calculator Basic Functions. To do this you’ll need to use the store and recall key as shown below: To store a number using this approach, use the following procedure: This is a straightforward process on the HP 10BII but it does involve a lot of steps that can be cumbersome and sometimes annoying. Please wait while we gather your contact options. For example, in the case of the following two apps, the ON/OFF key is replaced with the HELP key. HP 10B TI BA II PLUS 4.00 {P/YR} 2nd {IConv} ENTER 7.00 {NOM%} 7.00 {EFF%} 7.19 ↓ ↓ 4.00 ENTER ↑ CPT 7.19 The effective annual rate equals 7.19 percent. The HP 10BII financial calculator has a built in settings for payments per year that attempts to auto-adjust the interest rate based on how many periods there are in a year. Save your personal devices and preferences, Managing contracts and warranties for your business, For Samsung Print products, enter the M/C or Model Code found on the product label. The TI BA2 Plus is outside of the scope of this article, but if you’ll be storing and recalling multiple numbers like this on a regular basis, then you’ll probably like the TI BA2 Plus better. In finance and commercial real estate it’s simply expected that you know how to use a financial calculator. {{#if (eq ../this.length 3)}}. So, now we know 4 out of the 5 time value of money components and we can easily solve for the 5th unknown interest rate component, which turns out to be 6.5%. The HP 10bii displays the annunciator PER followed by the starting and ending payments that will be amortized. The best way to master using the time value of money keys on the 10BII is to simply practice. To set the number of digits after the decimal point. - The HP 10bII+ is the smart choice for business and finance needs. These are all great questions and unfortunately outside of the scope of this article. What should you pay for it today in order to earn 6.5% annually? If you can earn a rate of 9% per year on similar investments, how much should you be willing to pay for this annuity?In this case we need to solve for the present value of this annuity since that is the amount that you would be willing to pay today. Javascript is disabled in this browser. If the interest rates are 12% per year, how long will it take my savings to grow to $58,200? INTRODUCTION TO THE HEWLETT PACKARD (HP) 10BII CALCULATOR A. For example, your profession may use the term balance, balloon payment, residual, maturity É value, or remaining amount to designate a value that the HP 10bII+ knows as (future value). The 10bii Financial Calculator is a versatile and powerful financial calculator which features more than 105 different functions for financial analysis, business, statistics, and general mathematics. Get in touch. In this problem we know the present value PV is -$100,000 because it’s what’s invested today. Input 10 and press the N key.