Video instructions and help with filling out and completing What Form 843 Calculator

Instructions and Help about What Form 843 Calculator

Hi this is Rob I'm going to show you how to do a future value with compounding on the ti-84 plus CE graphing calculator future value is a time value of money problem or TVM problem and to solve TVM problems on the ti-84 plus c ii will use the built in finance app button in the calculator to get started press the apps key located here the application and window pops up and we want the finance app here at the top by the number one hit the one key or the enter key to access a finance app here we want the first one TVM solver time value of money solver press the 1 key or the enter key these are all the time value of money variables I will explain each one and at the top is the number of payment periods over the entire timeframe if the timeframe is two years that n would be the number of payment periods over those two years I percent is the annual interest rate also known as APR do not convert this into a decimal format if the annual interest rate is one point zero one percent then enter as one point zero one PV is present value this app uses the cash flow method thus if money is leaving your pocket to fund an account the dinner of the money leave in your pocket as a negative number remember to use the negative sign and not the minus key when inputting this value if you use the minus key you will get an error message PMT payment is for the amount of regular payments being added or withdrawn into or out of the account for example if every month you take a hundred dollars out of your pocket to fund the account then enter a negative 100 here FV is for future value this is the variable that we'll be solving ppy is payments per year it's closely related to the next one cpy compoundings per year if the interest is compounded daily that enters 365 for both P P Y is CP Y if interest is compounded monthly than enter 12 for both p py and c py the last one PMT n begin is when the payment is made at the end of the period or at the beginning of the period leave this at end unless you have a problem that states that the payments are made at the beginning of each period let's take a look at a future value problem you put $1,000 into a bank one-year certificate of deposit CD that has an interest rate of 1.1 percent per year that is a APR of 1.1 percent and his compounded daily after one year how much money do you have assume one year equals 365 days for n number of periods we have a total timeframe of one year and the compounding is turning out 65 within that one year thus ends our one for one year times 365 for the compounding x' per year this n will equal 365 for this problem for I percent to annual interest rate or APR is one point one percent so enter one point one remember do not convert this percentage into a decimal number just enter one point one for PV present value we take one thousand dollars out of our pocket to fund this CD thus enter a negative one thousand remember use the negative key here to enter a negative 1000 do not use the minus key if you use the minus key this is the error message you will receive error syntax to go back to the time value of money app select number to go to and change that minus sign to a negative sign negative because we're taking money out of our pocket to fund this account PMT payments we are not making regular payments so leave this at zero at the future value this is what we are looking for so leave this at zero we'll be coming back to this variable the next two variables payments per year and compounding per year this is going to be the same for both which is 365 our compounding x' is daily thus 365 in fact after you enter 365 for payments per year and go down to compounding per year the calculator will automatically fill in 365 for cpy leave the bottom one at end and move up to the variable that we are trying to solve future value now solve the problem press this green alpha key and then the enter key and there is our answer after one year we will have one thousand eleven dollars and six cents in our bank CD do you see that little black square next to the FV that means that FB is the variable that we just calculated remember to solve we go up to the variable we are trying to solve for and press the green alpha key then the inner key if you mistakenly press a second key and then the enter key this is what happens you get some number times another number sometimes or you get this other value here if you get an answer there does not make sense it is because you press the second key and the enter key make sure you press the green outfit key and then the enter key to solve these problems okay that is it if you liked this video please give it a thumbs up and please subscribe to this channel