Tutorial for Users » hp 10bii - A home mortgage problem

HP 10bii - A home mortgage problem

The maximum monthly mortgage repayment you can make is $850. You can make a $14,000 down payment. The current interest rate is 8.75%. For a mortgage of 25 years, what is the maximum purchase price that you can afford?

Following are the hp12c keystrokes used to solve the problem in this:

  • Set your calculator to 1 P_Yr.
  • Remember to clear the memory but pressing [C ALL].
    Should show 1 P_Yr on the screen for about 2 seconds.
  • Enter 8.75 ÷ 12 and then press [ I/YR ].
  • Enter 25 x 12 and then press [ N ].
  • Enter 850 and press [+/-] then press [PMT].
  • Enter 0 and press [FV].
  • Finally press [PV] to get the answer.

The answer should be 103,388.26.

Here is how to solve the same problem using the HP 12c or HP 12c Platinum.

Further Reading: TVM.

Updated On: 15.06.26

  1. On 03-Apr-2016, Anonymous wrote: 
    Wouldn't you apply -14,000 down payment towards fv?
    Your reply to Anonymous
    • On 08-Jul-2018, Anonymous replied: 
      No, to PV, i.e. you can afford something worth 117,388.36
      Your reply to Anonymous

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