TI 86 Information

Texas Instruments has available a free Finance program for downloading at their web site at http://education.ti.com/us/product/tech/86/down/download.html.

Financial Variables

N, number of periods
I%, rate of interest per year

P/Y, number of payment periods per year

C/Y, number of compounding periods per year
PMT, payment per period
PV, present value
FV, future value

Conventions

Payments which increase the balance are positive numbers.
Payments which decrease the balance are negative numbers.
Future values are withdrawals, usually entered as negative numbers.

Floating Decimal

Press 2nd MODE, place the cursor on Float, press ENTER, press CLEAR.

Financial Mode

Press 2nd MATH MORE, press the F key corresponding to FIN, then press F1 (for TVM).

Clearing Financial Data

Move the cursor to the appropriate variable and enter zero.

Beginning Annuities

Press F4 (for FORMT), move the cursor to BEGIN, then press ENTER.

Entering Financial Data

Move the cursor to the appropriate variable and enter the value.

Computing Values

Move the cursor to the appropriate variable and press F5 (to SOLVE).

Example:

Tom's account begins with $500, and earns 6% per year, compounded monthly. He deposits an additional $50 at the end of each month. What will the balance be at the end of one year?

The variables are:

N = 12

I = 6/12 = 0.5

PMT = 50 increasing

PV = 500

FV = ???

To begin, the keystrokes are:

2nd MATH MORE

Press the F key corresponding to the program FIN

Press the F key corresponding to TVM

Then for each variable, enter the following value and press ENTER:

N = 12
I% = 6
PV = 500
PMT = 50
FV =

Then press the F key corresponding to FORMT, enter the following, and press ENTER:

P/Y = 12

If END is not highlighted, move the cursor to END and press ENTER.  Then press the F1 key (TVM), move the cursor to FV, and press F5 (to SOLVE).

The answer is $1,147.62, rounded to the nearest cent.