# Manuals/calci/ISPMT

ISPMT (Rate,Period,NoOfPaymentPeriods,PresentValue)

• is the interest rate.
• is the period.
• is the total number of payment periods.
• is the at present value.
• ISPMT(), calculates the interest paid during a specific period of an investment

## 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

1. =ISPMT(9.75%/12,1,5*12,500000) = -3994.791667
2. =ISPMT(9%,2,4,350000) = -15750
3. =ISPMT(9%/12,3,4*12,350000) = -2460.9375

ISPMT