Savings; Initial Deposit With Periodic Deposits - HP 12c Platinum Reference Manual

Initial Deposit with Periodic Deposits

Given an initial deposit into a savings account, and a series of periodic deposits coincident
with the compounding period, the future value (or accumulated amount) may be
calculated as follows:
1. Press g and press fCLEARG.
2. Key in the initial investment and press Þ$.
3. Key in the number of additional periodic deposits and press n.
4. Key in the periodic interest rate and press ¼.
5. Key in the periodic deposit and press ÞP.
6. Press M to determine the value of the account at the end of the time period.
Example: You have just opened a savings account with a $200 deposit. If you deposit
$50 a month, and the account earns 5 ¼ % compounded monthly, how much will you
have in 3 years?
12c platinum / 12C
RPN Keystrokes
gÂ
fCLEARG
200Þ$
3gA
5.25gC
50ÞPM
If the periodic deposits do not coincide with the compounding periods, the account
Note:
must be evaluated in another manner. First, find the future value of the initial deposits and
store it. Then use the procedure for compounding periods different from payment periods
to calculate the future value of the periodic deposits. Recall the future value of the initial
deposit and add to obtain the value of the account.

Savings

12c platinum
ALG Keystrokes
gÂ
fCLEARG
200Þ$
3gA
5.25gC
50ÞPM
Display
Value of the account.
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