Second, develop the habit of setting up your calculator before every time value of money problem.
Setting up your calculator involves clearing its memory registers (again, see the bottom panel of ).
Unlike a financial calculator, you must go to the right screen on these graphing calculators.
Just do the keystrokes above each time you want to do a TVM problem and you'll be fine.
Despite the equal value at time of disbursement, receiving the $10,000 today has more value and utility to the beneficiary than receiving it in the future due to the opportunity costs associated with the wait.