Unformatted text preview: using the
internal value, not on the value in the display. Rounding
If a calculation produces an 11digit (or greater) result, the calculator uses
the internal guard digits to determine how to display the result.
If the eleventh digit of the result is 5 or greater, the calculator
automatically rounds the result to the next larger value for display.
For example, consider this problem.
1P3 3=? Internally, the calculator solves the problem in two steps, as shown below.
1. 1 P 3 = 0.3333333333333
2. 0.3333333333333 3 = 0.9999999999999 The calculator rounds the result and displays it as 1. This rounding enables
the calculator to display the most accurate result.
Most calculations are accurate to within ±1 in the last displayed digit.
However, the higherorder mathematical functions use iterative
calculations, and inaccuracies can accumulate in the guard digits. In most
cases, the cumulative error from these calculations is maintained beyond
the 10digit display so that no inaccuracy is shown. IRR Calculations
When you solve for IRR, the calculator performs a series of complex,
iterative calculations. An IRR problem may have one solution, multiple
solutions, or no solution. The number of possible solutions depends on the
number of sign changes in your cashflow sequence. When There Are No Sign Changes
When a sequence of cash flows has no sign changes, there is no solution for
IRR. The calculator displays Error 5 (no solution exists).
The following time line shows a sequence of cash flows with no sign
changes. Appendix A: Reference Information 83 When There Is Only One Sign Change
When a sequence of cash flows has only one sign change, there is only one
solution for IRR. The calculator displays that solution.
The following time line shows a sequence of cash flows with only one sign
change.
Sign
change When There Are Two or More Sign Changes
When a sequence of cash flows has two or more sign changes, there may be
multiple solutions for IRR.
There is at least one solution.
There may be as many solutions as there are sign changes.
If there are multiple solutions, the calculator disp...
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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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