Solution 34772: Computing Net Present Value (NPV) and Internal Rate of Return (IRR) on the TI-83 Plus and TI-84 Plus Family of Graphing Calculators.
How do I compute NPV and IRR on the TI-83 Plus and TI-84 Plus family of graphing calculators?
The following examples will demonstrate how to compute NPV and IRR.
Example:
Initial cash flow is -9
Interest rate is 7%
CF1 = 5
Frequency = 2
CF2 = -4
Frequency = 3
CF3 = 6
Frequency
= 5
What is the NPV and IRR?
Solution: First, input the cash flow and frequency values into lists.
• Press [STAT] [ENTER] to enter the list editor.
• Press [5] [ENTER] [(-)]
[4] [ENTER] [6].
• Press [►].
• Press [2] [ENTER] [3] [ENTER] [5]
[ENTER].
Calculate NPV:
• Press [2ND][QUIT].
• Press [APPS] [ENTER] [7].
• Press [7] [,]
[(-)] [9] [,] [2ND] [L1] [2ND] [L2].
• Press [ENTER].
Calculate IRR:
• Press [APPS] [ENTER] [8].
• Press [(-)] [9] [,] [2ND] [L1] [,] [2ND]
[L2].
• Press [ENTER].
Please see the TI-83 Plus and TI-84 Plus Family guidebooks for additional information.