Hi, I’m having a problem when performing a simple interest calculation. I’ve tried everything, I’ve checked that all the settings are correct (9 dec, END, TVM values cleared…) but I can’t get the correct solution. I hope someone can help me. I’ll leave the problem here:

On June 2, 2020, a client places 100,000 euros in a deposit that matures on December 2, 2020 and offers a nominal annual interest rate of 2.50%. Calculate the gross interest and the capital that the client will receive at the end of the agreed term (Base 365).

The solution is 101,253.4247.

But the calculator gives me: 102,469.6716

I need help please

Using the DATE worksheet on the BA II gives 183 days between June 2, 2020 and December 2, 2020.

Simple interest: 100,000 * (1 + 0.025 * 183/365) = 101,253.4247

The TVM worksheet assumes compound interest, so you can’t use it for this question.

2 Likes

Thank you very much, I was going to be trying for years… and the calculator doesn’t have a function to calculate simple interest? I know it’s not necessary and it’s a simple calculation, but being a “high-end” financial calculator I assumed it would have it.

Thanks again, friend!

Just curious: what were the settings on your TVM worksheet to get to this number?

I entered this data. The result I sent you was after having tried several ways of doing it and changing parameters, such as calculating the daily interest and entering the number of daily periods for example. Right now I don’t remember exactly what I did for that result. But the result with the data entered correctly is that one.

N = 0,501369863

I/Y = 2.5

PV = 100,000

PMT = 0

CMP FV. 101,275.7083