Applications
Solution
 Enter:  See Displayed:  
 
50 n 7 i 450 PV   PMT   $
  4.38
  interest- 360—day basis
 
x y   $
  4.32
  interest- 365—day basis
Discounted Note
Discounted Note This calculation finds the discount amount (interest) and the effective annual yield on a note for both a 360- and 365-day basis, when the number of periods (days only in this application), discount rate and face value (future value) are known. The formula uses the constant storage location, therefore, any value stored there will be destroyed when the final key (the one that triggers the result) is pressed. The information is entered as follows:
1 Enter the number of days, press n.
2 Enter the annual interest rate, press i.
3 Enter the face value (future value), press FV.
4 Press  , then PMT (INTR) to obtain the discount amount on a 360-day basis.
5 Press R  to obtain the effective annual yield on a 360-day basis.
6 Press R  again to obtain discount amount on a 365-day basis.
7 Press R  again to obtain the effective annual yield on a 365-day basis.
Solution
 Enter:  See Displayed:  
 
37 n 6 i 1000 FV   PMT   $
  6.17
  discount amount, 360-day basis
 
R    
  6.04
  % effective annual yield, 360-day basis
 
R    $
  6.08
  discount amount, 365-day basis
 
R    
  6.04
  % effective annual yield, 365-day basis
41