Discounting one investment
This will calculate: if you know what a future sum will be, how much to pay for it today to earn a desired return.
Example: I would like to borrow money from you today and pay you back in 3 years from the sale of some stocks. How much will you loan me if you receive $50,000 in 3 years and you want a 15% return?
Please note: the result is a negative number because it is a cash outlay.
If I could also make equal monthly payments, use discounting a series with balloon instead.
Prefer to let the site do the arithmetic? Use the discounting one investment form.
- HP-10B keystrokes
-
1
1
P/YR
Sets one period per year
- 2 3 N
- 3 15 I/YR
- 4 50000 FV
- 5 PV = - 32,875.81
P/YR tells the calculator how many payments there are in a year. Set it first: 12 for monthly, 1 for annual. It stays set until you change it. The plain gold key is the shift key. Press it immediately before another key to reach the gold function printed above that key.