Solving For Yield - HP 12C User Manual

206 Section 14: Leasing

Solving for Yield

To calculate the periodic yield, information is entered as follows:
1. Press g and fCLEARG.
RPN Mode:
2. Key in the total number of payments in the lease then press \.
3. Key in the total number of payments made in advance then press
?0-n.
4. Key in the periodic payment to be received then press P.
5. Key in the total amount of the loan then press Þ:0:P§+$.
6. Press ¼ to obtain the periodic yield.
ALG Mode:
2. Key in the total number of payments in the lease then press -.
3. Key in the total number of payments made in advance then press
?0n.
4. Key in the periodic payment to be received then press P.
5. Press :0§:P³+. Then key in the total amount of the loan and
press Þ$.
6. Press ¼ to obtain the periodic yield.
Example 1: A lease has been written to run for 60 months. The leased
equipment has a value of $25,000 with a $600 monthly payment. The lessee has
agreed to make 3 payments at the time of closing ($1,800). What is the annual
yield to the lessor ?
Keystrokes
(RPN mode)
f]
gÂ
fCLEARG
60\3
?0-n
600P
25000Þ:
0:P§
+$
File name: hp 12c pt_user's guide_English_HDPMF123E27
Printed Date: 2005/8/1
Keystrokes
Display
(ALG mode)
f[
gÂ
fCLEARG
3.
60-3
?0n 57.00
600.00
600P
:0§:
P+25000
-23,200.00
Þ$
Page: 206 of 275
Dimension: 14.8 cm x 21 cm
Number of periodic
payments.
Monthly payment.
PV.