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Unformatted text preview: lable for performing cashflow calculations. The
key
lets you enter cash flow data. The ( key lets you compute net present
value, and the
key lets you compute internal rate of return.
Press and to move through each set of variables. Cash Flow Worksheet Keys and Labels
Key Label Meaning Type of Variable Cfo Initial cash flow Enteronly Cnn* Amount of nth cash flow Enteronly Fnn* Frequency of nth cash flow Enteronly Discount rate Enteronly NPV Net present value Computeonly IRR Internal rate of return Computeonly ( * nn represents the number of the cash flow (C01–C24) or the number of
the corresponding frequency (F01–F24). Notes about the Cash Flow Worksheet
sets all variable values to zero.
sets all variable values to zero.
To enter cashflow values and frequencies, press
. You can enter the
initial cash flow (CFo) plus up to 24 cash flows, each of which can be a
unique value. Enter inflows (cash received) as positive and outflows (cash
paid out) as negative. Use
to enter a negative value.
The INS and DEL indicators in the display let you know that the
X
and
key sequences are available. these key sequences let you insert
or delete cash flows. Chapter 3: Using the Cash Flow Worksheet 29 Interpreting the Results of IRR Calculations
When you compute a value for IRR, the calculator displays either a solution
or an error message.
When a solution is displayed, there are two possibilities.
The displayed solution is the only solution.
There may be additional solutions. This occurs when there are two or
more sign changes in the cash flow sequence.
When an error message is displayed, there are two possibilities.
No solution for IRR exists (Error 5). This occurs when there are no sign
changes in the cash flow sequence.
The calculator is unable to determine a value for IRR within a maximum
number of iterations (Error 7).
For a detailed description of sign changes as they relate to IRR, refer to the
Appendix. Uneven and Grouped Cash Flows
Uneven Cash Flows
The Cash Flow worksheet lets...
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This homework help was uploaded on 04/03/2014 for the course ECON 203 taught by Professor Petry during the Summer '09 term at University of Illinois, Urbana Champaign.
 Summer '09
 PETRY

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