calculating interest in the EMI for a loan?
350295
To figure the payment on an installment loan, use the PMT() function in Excel, if you have that. If not, the formula can be derived from the present value formula and the perpetuity formula. The present value of a future cash flow is the future cash flow divided by (1 + Rate/frequency)^(years x frequency). The present value of perpetuity (the same amount paid every period) is amount per period/(Rate/frequency). Thus a 7 year installment loan with monthly payments (frequency = 12 payments per year) and an 8% interest rate can be valued as the difference between a perpetuity starting now and a perpetuity starting in 7 years. Thus:\n\n600,000 = (Payment/(8%/12))x(1 - 1/((1+(8%/12))^(7 x 12))\nThe interest per month at 8% would be 4,000, not the 3,946 you calculate, so I am unaware of the particular detail of why that is different. The formula above results in a monthly payment of about 9,352. If you want to check it the long way, deduct the interest from the payment, and that is the reduction of principal that period, so you can recalculate the interest for the next period and see how much more the principal declines. If you carry this out to the maturity, the balance should be zero.
393533
I don't feel like working it out, but you just discount back the cash flows assuming they're constant, and then do some simple algebra.\n\nIt looks kind of like\n\n(785000 - 137) = (x / 1.07) + (x / 1.07^2) + ... (x / 1.07 ^10)\n\nSolve for x.
880662
I've got the first part.  I/rt = P\nSo, 93.08/(.065 times 1.33) = 1076.69 dollars\n.\nHere is the second one, I hope. I = Prt .\nSo, 56000times .12 times 1 = 6720\nNow divide 6720 by twelve to find the interest for each month.\nIt's 560 \nSubtract 560 from the monthly payment of 619.36 = 59.36. This is the amount coming off the principal. So after one month the principal is 56000- 59.36 = 55940.64\nHere is the third one.\nI = Prt\nSo 387000 times >147 times 15 = 853335 dollars to be paid back in 15 years. Divide that amount by 180 months(15 years) and you get a monthly payment of 4740.75\nI hope those folks have really good jobs. Ha
890824
I haven't seen the original question, but I'm guessing that $817 must be added to $9999 to find the total amount interest is being charged on. If my guess is correct, then p = 10816.  Use t=3.  You only need to use 36 months if, after working out the interest, you have to calculate a monthly payment.  You would then add the interest to p, and divide by 36 to find the monthly repayment.
574778
first, start with how much money you have, then find the rate, and the time\n\nfor example:\nI have $20,000, at a rate of 12% for 36 months. The interest would be $20,000 times .12 times 36.
218184
Try this one:\nhttp://mortgages.interest.com/content/calculators/index.asp
642311
interest-SIMPLE INTEREST
16707
Yes, go here and use one of the calculators offered...\n\nhttp://mortgages.interest.com/content/calculators/index.asp
612939
If the first loan is $100,000 at 10%, and the second loan is $20,000 at 15%, then the blended rate is:\n\n(100,000*10% + 20,000*15%)/(100,000 + 20,000).
900883
You are correct; \n\nIf you borrow ₤1500 at the interest of 14%\n\nYou will be paying back ₤1710 as the interest is ₤210 (value of 14% of ₤1,500)\n\nYou will be paying the Principal (₤1,500) plus the interest (₤210)\ngiving you a total of ₤1710.\n\nYou are not stupid, no one knows it all.
1126484
COMPOUND INTEREST\n---------------------------------\n\n S = P (1 + I) n \n\nwhere:\n\nS = the future value\n\nP = the principal amount\n\nI = the periodic rate of interest*\n\nn = the # of compounding periods for the term of the loan\n--------\n\nFor example,\n\nIf the principal amount is $10,000, the periodic rate of interest is 10% and the # of compounding periods is 6, what is the value at maturity?\n\nS = P (1 + I) n \n\nS = $10000 (1 + .10) 6\n\nS = $ 17715.61\n\nhttp://homepages.cambrianc.on.ca/tutorial/thetutorialcentre/mathscience/math/compound_interest.htm\n\n\nSIMPLE INTEREST \n------------------------------\n\nAt start:\n\nT = P\n\nAfter 1 period:\n\nT = P + Pr = P(1 + 1r)\n\nAfter 2 periods:\n\nT = P + Pr + Pr = P + 2Pr = P(1 + 2r)\n\nAfter 3 periods:\n\nT = P + Pr + Pr + Pr = P + 3Pr = P(1 + 3r)\n\nAfter n periods:\n\nT = P(1 + nr)\n\n--------------------\nWhen money is borrowed, interest is charged for the use of that money for a certain period of time. When the money is paid back, the principal (amount of money that was borrowed) and the interest is paid back. The amount to interest depends on the interest rate, the amount of money borrowed (principal) and the length of time that the money is borrowed. \nThe formula for finding simple interest is: Interest = Principal * Rate * Time. If $100 was borrowed for 2 years at a 10% interest rate, the interest would be $100*10/100*2 = $20. The total amount that would be due would be $100+$20=$120. \n\nSimple interest is generally charged for borrowing money for short periods of time. Compound interest is similar but the total amount due at the end of each period is calculated and further interest is charged against both the original principal but also the interest that was earned during that period. \nhttp://www.learningwave.com/lwonline/percent/interest.html\n\n\n\nhttp://www.aaamath.com/g84-simple-interest.html \na calculater ..
84599
Interest is quoted as annual rates, so 5% a year would be 5/12% per month, or 0.4167%.  We were talking about $100,000, so it would be $416.70 interest.  \n\nHowever, unless the interest is paid to you in the form of a check, it is probably compounded.  The second month the interest would then be paid on $100,416.70.  Also, interest is sometimes compounded more or less frequently than once a month.  Some banks go as far as to compound daily.  That is done with a computer, not a pocket calculator!\n\nI assumed the question was about earning interest, not a loan, because the figures are more realistic that way.
457588
Simple interest has its own formula\nFV = P(1+rt)\nwhere FV is the future value(in this case the amount due on the loan), P is the principle, r is the rate and t is the time(in years)\nP = 1780, r = .12 and t = 6/12 = .5\nFV = 1780(1+.12(.5)) = 1886.8\nFor compound interest, use the formula\nFV = P(1+i)^n\nP is the principle, i is the interest rate divided by the number of times it is compounded per year, and n is the number of times it is compounded (n is in terms of months, years or whatever the problem states.\nFor example:\nIf it is compounded monthly, then\ni = .12/12 (divide by 12 because there is 12 months in one year) and r = 6 months\nFV = 1780(1+.12/12)^6 = 1889.51\nIf it is compounded annually, then\ni = .12/1 (because it is compounded once a year) and n = 6/12 = 1/2 years\nFV = 1780(1+.12/1)^(1/2) = 1883.77
580744
Calculating the Effective Annual Rate\n\nBasic Financial Calculator Suppose that you have determined that the monthly rate of return on a certain investment is 0.21307991 (%). That's the monthly rate. You can multipy that number by 12 to get the nominal annual rate of about 2.55696%. But suppose you would like to know the effective annual rate (EAR)?\n\nThe effective annual rate is the annual interest rate that would yield the same result if interest was compounded annually rather than monthly.\n\nThe formula for calculating the equivalent annual rate from a monthly rate is\n1 + EAR = (1 + MR)^12\nor\nEAR = ((1 + MR)^12) - 1\nwhere EAR is the effective annual rate and MR is the monthly rate and both numbers are expressed as absolute decimals (rather than as percentages).\nPrepare the calculator\n\nIn order to work through the following example, you should prepare the calculator by first tapping the CLR key and then tap\n0 . 2 1 3 0 7 9 9 1 Enter +\nAn Example\n\nSuppose that you have calculated a monthly interest rate of 0.21307991% using your basic financial calculator. The first step in converting this to an effective annual percentage rate is to convert the monthly rate from a percentage to an absolute rate. Divide the percentage rate by 100 to convert to an absolute (fractional) rate. Tap\n1 0 0 /\nThe number that is displayed on the screen should now be 0.0021307991. The next step is to add one and then raise the result to the 12th power. Tap\n1 + 1 2 y^x\nThe number is now 1.0258714. Subtract one to get the absolute (fractional) rate, and then multiply by 100 to convert the fractional rate to a percentage. Tap\n1 - 1 0 0 X\nThe answer is 2.58714%.
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If you are applying for a mortgage then your "Good Faith Estimate" from your mortgage Broker/Banker will show the APR on the loan including the points.\n\nIf you are asking the mathematical formula then it is the total expected interest to be paid annually divided by the loan amount, i.e. $10,000 in interest charges per year on a $100,000 loan would be 10%. Check out www.bankrate.com they have several calculators that you can use.
267473
That is correct, but if you want to know how to figure that rate for each month it is the % rate divided by 12 months (3.99/12).  It is also important to know how it it compounded (some figure interest daily, and you pay more interest.  soem figure monthly), because it can mean a big difference in the interest paid by the end of year, even if it is the same interest rate.
633448
monthly installment? (sales price - deposit)/(%number.of.mths) which could be 12/18/24 +++