User`s guide

26 — Q

UALIFIER

LUS

III

Finding the Monthly Mortgage (P&I) Payment

Find the monthly P&I (principal and interest) payment on a 30-year,

fixed-rate mortgage of $265,000 at 6.75% annual interest.

STEPS KEYSTROKES DISPLAY

Clear calculator o o 0.00

Enter loan amount 2 6 5 ) l* 265,000.00

Enter term 3 0 T 30.00

Enter interest 6 • 7 5 ˆ 6.75

Find monthly P&I payment p “run” 1,718.78

*Note: Use the ) key to save keystrokes.

What is the new payment, if the interest rate is lowered to 6.5%?

STEPS KEYSTROKES DISPLAY

Enter new interest rate 6 • 5 ˆ 6.50

Find monthly P&I payment p “run” 1,674.98

Finding the Interest Rate

Find the interest rate on a mortgage where the loan amount is

$98,500, the term is 30 years, and the payment is $1,150 a month.

STEPS KEYSTROKES DISPLAY

Clear calculator o o 0.00

Enter loan amount 9 8 5 0 0 l 98,500.00

Enter term 3 0 T 30.00

Enter monthly payment 1 1 5 0 p 1,150.00

Find annual interest ˆ “run” 13.78

Find periodic interest ˆ 1.15

Finding the Term of a Loan

How long does it take to pay off a loan of $15,000 at 10% interest if

you make payments of $200 each month?

STEPS KEYSTROKES DISPLAY

Clear calculator o o 0.00

Enter loan amount 1 5 ) l 15,000.00

Enter interest 1 0 ˆ 10.00

Enter monthly payment 2 0 0 p 200.00

Find term in years T “run” 9.85

Find periodic term T 118.19