Manuals/calci/IPMT

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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

See Also

References

Binary Logarithm