Difference between revisions of "Manuals/calci/ISPMT"
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*This function calculates the interest paid, during a specific period of a loan or investment. | *This function calculates the interest paid, during a specific period of a loan or investment. | ||
*In <math>ISPMT (Rate,Period,NoOfPaymentPeriods,PresentValue)</math>, <math>Rate</math> is the rate of interest for the period.Suppose we are taking a loan for 8 percent annual interest rate and paying the amount in monthly, then the <math>Rate</math> value is 8%/12. | *In <math>ISPMT (Rate,Period,NoOfPaymentPeriods,PresentValue)</math>, <math>Rate</math> is the rate of interest for the period.Suppose we are taking a loan for 8 percent annual interest rate and paying the amount in monthly, then the <math>Rate</math> value is 8%/12. | ||
− | *So we have to enter the <math> | + | *So we have to enter the <math>Rate</math> value as 8%/12 or 0.6667% or 0.006667 in to the formula as the rate. |
*<math>Period</math> indicates the period and it is lying with in 1 to nper. | *<math>Period</math> indicates the period and it is lying with in 1 to nper. | ||
*<math>NoOfPaymentPeriods</math> is the total number of payment periods in an annuity. | *<math>NoOfPaymentPeriods</math> is the total number of payment periods in an annuity. |
Revision as of 18:03, 23 July 2018
ISPMT (Rate,Period,NoOfPaymentPeriods,PresentValue)
- is the interest rate.
- is the period.
- is the total number of payment periods.
- is the at present value.
Description
- This function calculates the interest paid, during a specific period of a loan or investment.
- In , is the rate of interest for the period.Suppose we are taking a loan for 8 percent annual interest rate and paying the amount in monthly, then the value is 8%/12.
- So we have to enter the value as 8%/12 or 0.6667% or 0.006667 in to the formula as the rate.
- indicates the period and it is lying with in 1 to nper.
- is the total number of payment periods in an annuity.
- is the present value-the total amount that a series of future payments is worth now.
- The arguments rate and the nper are expressed in the correct units.
months = 12 * years; monthly rate = annual rate / 12 quarters = 4 * years; quarterly rate = annual rate / 4 .
- The returned values are negative which is representing the cash we pay out like deposits to savings or other withdrawals.
- Also the returned values are positive which is representing the cash we receive like dividend checks and other deposits.
- This function give result as error when
Any one of the arguments are not recognised as numeric values.
Examples
- =ISPMT(9.75%/12,1,5*12,500000) = -3994.791667
- =ISPMT(9%,2,4,350000) = -15750
- =ISPMT(9%/12,3,4*12,350000) = -2460.9375
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References