Last night I was attempting to solve the interest expense for x-year on a bond using the amortization feature of the BA2 plus. I hit 2nd something and got the feature to work. But now I’m trying to solve a simple problem: PV= 200,000, N= 360, i/y = 6, Pmt = $1,199.10, in which the balance at the end of the 48th payment is $189,229. I can’t seem to do it with the current setting I have set for the bond problem. What would be the correct setting? I know its 2nd something, but just don’t know. Please help!!
2nd 9 which activates the bond worksheet or 2nd and the PV which activated the Amortization worksheet?
I’m using 2nd PV to activate the amort. worksheet to solve for the problem above.
I’m not sure I understand what the question is, I mean what are you trying to obtain. ould you restate the question?
I’m trying to solve this problem using the amortization feature, but I think I’ve got my settings wrong, therefore, I’m not getting the correct result. “I’m trying to solve a simple problem: PV= 200,000, N= 360, i/y = 6, Pmt = $1,199.10, in which the balance at the end of the 48th payment is $189,229.” Please help!
PV=200,000, I/Y=6/12 (monthly payments), N=360, FV=0, cpt PMT=1,199.1 2nd 9, activate Amort worksheet, P1=1, P2=48, at arrow down BAL=189,229.06 Is this what you’re looking for?
That’s how it’s suppose to work, but I get PMT=$11,154.15. That means my settings are wrong, which is what I need to help correcting.
You are setting I/Y=6, which is the annual interest rate. You should put in I/Y=6/12=0.5, don’t you pay monthly?
what should P/Y be set on ?
yes, i did use .50, but still get the same answer.
P/Y is payments per year, which is 1 by default. I wouldn’t change it.
yeah i quit using the amort worksheet, it messed up my TVM stuff.