Texas Instruments TI-83 Getting Started: Financing a Car

14-2 Financial Functions
8314FINA.DOC TI-83 international English Bob Fedorisko Revised: 02/19/01 12:50 PM Printed: 02/19/01 1:38 PM
Page 2 of 14
Getting Started is a fast-paced introduction. Read the chapter for details.
You have found a car you would like to buy. The car costs 9,000. You can
afford payments of 250 per month for four years. What annual percentage rate
(APR) will make it possible for you to afford the car?
1. Press z † ~ ~ ~ Í to set the
fixed-decimal mode setting to 2. The TI-83
will display all numbers with two decimal
places.
2. Press y [FINANCE] to display the
FINANCE CALC menu.
3. Press Í to select 1:TVM Solver. The
TVM Solver is displayed.
Press 48 Í to store 48 months to Ú.
Press † 9000 Í to store 9,000 to PV.
Press Ì 250 Í to store L250 to PMT.
(Negation indicates cash outflow.) Press 0
Í to store 0 to FV. Press 12 Í to
store 12 payments per year to P/Y and 12
compounding periods per year to C/Y.
Setting P/Y to 12 will compute an annual
percentage rate (compounded monthly)
for æ. Press † Í to select PMT:END,
which indicates that payments are due at
the end of each period.
4. Press } } } } } } to move the cursor
to the æ prompt. Press ƒ [SOLVE] to
solve for æ. What APR should you look
for?
Getting Started: Financing a Car