Here’s an example of calculating a loan payment on the HP-10B.

Hewlett-Packard’s business calculator, the HP-10B, is designed to be easy to use. Let’s see how easy it is with an example:

Example 1: Calculate the monthly payment on a $6500 loan at interest rate 9.1% compounded monthly with a term of 2 years.

Solution:

The HP-10B has an orange key at left, one key up from the bottom. I’ll just call it ORA.

1) First, you’ll want to press ORA INPUT to clear the registers.

2) Key in 12 ORA PMT to indicate 12 payments per year.

3) Key in 2×12 N to tell the number of periods for the loan.

4) Key in 9.1 I/YR to tell the nominal interest rate of the loan.

5) Key in 6500 PV: the amount of the loan.

6) Key in 0 FV, meaning that at the end of the two years, (24 months), the loan will be paid in full.

7) To get the payment, just press PMT.

Hopefully, you receive the answer -297.25. The negative sign refers to outflow, whereas the orginal $6500 was positive because it was received.

I’ll be talking more about using the HP-10B in future posts.

HTH:)

Source:

Hewlett-Packard. HP-10B Business Calculator Owner’s Manual.
   Corvallis: Hewlett-Packard, 1988.

Jack of Oracle Tutoring by Jack and Diane, Campbell River, BC.