IPMT(R, P, NP, PV, FV [, T])

 

Description

This function returns the interest payment for a specified period for a loan or investment based on periodic, constant payments and a constant interest rate.  Make sure that the units used for R and P are consistent.  For example, for a 5-year loan with 12% annual interest, if you make payments monthly, use 12%/12 for (monthly) R and 512 for NP.

 

Parameters

 

R

Interest rate per period.

 

P

The period for which the interest will be calculated (an integer).

 

NP

The total number of payment periods.

 

PV

The present value of the investment.

 

FV

The future value or a cash balance that you would like to attain at the end of the last period.

 

T

(Optional)  Timing of the payment:

 

 

Examples

 

IPMT(10%/12, 1, 24, 2000, 0, 0) = 16.6667