User Manual

54 BA II PLUS™ Calculator

Time Value of Money/Amortization Schedule

This two-part example shows you how to use the TVM and

Amortization worksheets to compute the monthly payment on a

30-year loan and then generate an amortization schedule for the

first three years of the loan.

Example: Mortgage Payment

Using the TVM worksheet, determine the monthly payment on a

30-year mortgage with a loan amount of $120,000 and an annual

percentage rate of 9.125%.

Procedure Keystrokes Display

Set all variables to defaults.

}

RST 0.00

Enter number of payments

using payment multiplier.

N= 360.00



Enter interest rate.

9.125

I/Y= 9.13



Enter loan amount.

120000

PV= 120,000.00



Compute payment.

PMT= -976.36



Notice that the interest rate displays as 9.13, even though you

entered 9.125. The calculator uses 9.125 for

I/Y

to make the

calculation. To see the stored value of

I/Y

displayed with three

digits, press

I/Y

The computed monthly payment is $976.36. Because

PMT

money paid out, it is displayed as a negative number.