Calculation Formulas - Casio CLASSPAD 330 3.04 User Manual

Calculation Formula
1 payment
1 .............. PM1
Number of Payments
a : Interest portion of payment PM1 (INT)
= I BAL
INT
PM1
b : Principal portion of payment PM1 (PRN)
= PMT + BAL
PRN
PM1
c : Principal balance upon completion of payment PM2 (BAL)
= BAL
BAL
PM2 PM2–1
d : Total principal paid from payment PM1 to payment PM2 ( PRN)
PM2
PRN = PRN
PM1
PM1
e : Total interest paid from payment PM1 to payment PM2 ( INT)
• a + b = one repayment (PMT)
PM2
INT = INT
PM1
PM1
BAL = PV
.......................
0
INT = 0 PRN
,
1 1
Converting between the Nominal Intere t Rate and Effective Intere t Rate
The nominal interest rate ( I % value input by user) is converted to an effective interest rate
( I % ' ) for installment loans where the number of annual payments is different from the number
of annual compoundings calculation periods.
{
I%' = (1+
100 × [C / Y ]
The following calculation is performed after conversion from the nominal interest rate to the
effective interest rate, and the result is used for all subsequent calculations.
i = I%'÷100
Amortization
a
c
b
..................... PM2 ............
i I (PMT sign)
PM1–1
i
PM1–1
+ PRN
PM2
+ PRN + + PRN
....
PM1+1
+ INT + + INT
....
PM1+1 PM2
Payment: End (Format tab)
= PMT Payment: Begin (Format tab)
...
[C / Y ] }
I%
[P / Y ]
×100
) –1
15-5-4
1 payment
Last 1 ...............
PM2
20060301
e
d
PM1 .................. PM2 ...............
Number of Payments
Last