HP HP-18C User Manual

Leasing Calculations
Two common leasing calculations are calculating the lease payment
necessary to achieve a specified yield, and finding the present value
(capitalized value)
of a lease.
Example: Calculating a lease payment. A new car valued at
$13,500 is to be leased for 3 years, with an option to purchase the car
for $7,500
at the end of the leasing period . What monthly payments ,
payable at the beginning of each month, are necessary to yield the
lessor 14% annually?
Figure 4-10. A Car Lease
I
1
I
rV ~ 7'500
PMT= ?
3 34 35
36
I%YR =
14
PV = - 13,500
N= 36
#PjY = 12
Notice that the first lease payment occurs at the beginning of the first
period . Starting from the MAIN menu :
Keys:
... -
.1 CLEAR ALL I
Display:
0.00
Description:
Displays the TVM menu .
Clears
the history stack
and the TVM variables.
Displays
the secondary
TVM menu.
4: Time Value of Money 73

HP HP-18C Specifications

General

Brand	HP
Model	HP-18C
Category	PDA
Language	English