Texas Instruments Calculator NFV 1i+(), p, n, 1rrate+()1=, -----------------------------------------------------, =, MOD NPV (positive, rrate NPV (negative, frate)

88 Appendix — Reference Information
Net present value depends on the values of the initial cash flow (CF0),
subsequent cash flows (CFj), frequency of each cash flow (nj), and the
specified interest rate (i).
where: i is the periodic interest rate used in the calculation of NPV.
where: is the frequency of the kth cash flow.
IRR = 100 × i, where i satisfies npv() = 0
Internal rate of return depends on the values of the initial cash flow
(CF0) and the subsequent cash flows (CFj).
i = I/Y ÷ 100
The calculator uses this formula to compute the modified internal rate of
return:
where: positive = positive values in the cash flows
negative = negative values in the cash flows
N = number of cash flows
rrate = reinvestment rate
frate = finance rate
NPV (values, rate) = Net present value of the values in the rate
described
NFV 1i+()
pNPV×=
p
nk
k1=
N
∑
=
nk
MOD NPV (positive, rrate–
NPV (negative, frate)
-----------------------------------------------------
1N⁄
1rrate+()1–×=