Manuals/calci/IPMT
IPMT(rate,period,no.paymentperiods,presentvalue,futurevalue,Type)
- is the annual rate of interest.
- is the period of to find the interest rate.
- is the number of installments.
- is the present value.
- is the future value.
- is either 1 or 0.
Description
- This function gives amount of interest for a particular time, according to the periodic, fixed payments and fixed interest rate.
- This function can be used to calculate the payments for a loan or the future value of an investment.
- In , where is the rate of interest for a year
- is the period for which the interest payment is to be calculated. It must be a value between and .
- is the total number of periods over which the loan or investment is to be paid.
- is the present value of the loan.
- is the future value of the loan, at the end of payment.
- is the number or .
- When type value is means the payment is made at the end of the period and type value is means the payment is made at the beginning of the period
- Here the arguments and are optional.
- Suppose we omit the value of , then it will consider the value as .
- Also when we are not giving the value, the default value is .
- Suppose we calculate the monthly payments instead of annual payment, for the argument we have to divide by and the value we have multiply with .
- For e.g. The monthly payments on a 5 year loan at 10% annual interest, we have to give the arguments and as 10%/12 for and 5*12 for .
- This function will give result as error when
Any one of the argument is non-numeric or
ZOS Section
- The syntax is to calculate amount of interest for a particular time in ZOS is
- is the annual rate of interest.
- is the period of to find the interest rate.
- is the number of installments.
- is the present value.
- is the future value.
- is either 1 or 0.
- For e.g.,
Examples
- 1.Calculate the interest payment during half yearly 1 and 2 of a loan for 50,000, that is to be reduced to 10,000 over a period of 3 years, by a series of constant half-yearly payments.
- Interest is charged at a rate of 4.5% per year and the payment is made at the beginning of each half year.
- IPMT(4.5%/2,3,2*2,50000,10000,1)= -480.666
- 2.The interest payment for a $55000 investment that earns 7.50% annually for 15 years.
- The interest payment is calculated for the 5th year and payments are due at the end of each year.
IPMT(7.5%/1, 5, 15*1, 55000)=-3418.570