HP 17bII manual 

effective interest rate based on your payment periods. Last, convert the effective rate to the nominal rate based on the bank’s compounding periods.

Example: Balance of a Savings Account. Starting today, you make monthly deposits of $25 into an account paying 5% interest compounded daily (365-day basis). At the end of 7 years, how much will you receive from the account?

Keys:									Display:	Description:
									
									
										Periodic interest-rate
									 
										conversion menu.
365										Stores bank’s
										compounding periods.
5										Stores bank’s nominal
										interest rate.
										Calculates effective interest
									
										rate for daily compounding.
12										Stores number of deposits
										per year.
										Calculates equivalent
									
										nominal interest rate for
										monthly compounding.
ee										Switches to TVM menu;
										NOM% value is still in
					<				
										calculator line.
										Stores adjusted nominal
s									
										interest rate in I%YR.
										Sets 12 payments per
					12				
										year; Begin mode.
						e			   

6: Interest Rate Conversions 89

File name : English-M02-1-040308(Print).doc Print data : 2004/3/9