Question

Hello, I am having trouble with this question. I am using the HP 10bii+ calculator. A step by step instructions on using the calculator, not excel, will help me the most. I know the answer, just not how to enter it into the calculator to get the correct answer, i keep getting it wrong. Thank you!

What is the IRR of the following set of cash flows? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

Year	Cash Flow
0	–$	16,600
1		7,300
2		8,600
3		7,100

Once again, I know the answer just not how to get it using the HP 10bII+ financial calculator. Thank you for your help.

Answer 1

IRR for cash flow is calculated ine xcel and screen shot provided below:

IRR of project is 18.32%.

Now, Calculation through HP 10bII+ financial calculator in following Steps.

1. Switch on Calculator

2.Press 2nd and clear ro clear all previous data.

3. Now Press CF button (here you have to put all Cash flow:

4. first you will get CF0, here you have to cash flow in year 0 that is $16,600. Remember put it in negative form that is -,6,600

5. Now press down arrow button and put cash flow in year 1 and again arrow and cash flow in year two. here remeber after press down arrow you will get F01, so here you do not have to put value prees down arrow one again and put value only you get option like C01, C02,

6. Now Press CPT ( Compute and then IRR.

7. the final answer you get is IRR value.