In: Finance
Given
Loan Amount (Present Value Annuity)= 18,500$
Interest rate (r)= 3% per anum
Tenure of the loan (n)= 4 years
Frequency of Payments (m) = monthly = 12
In order to calculate Monthly Payments, we have to use present value annuity formula which is as follows
PVA = Annuity *{(1-(1/(1+(r/m))^(m*n)))/(r/m)}
18500 = Annuity *{(1-(1/(1+(0.03/12))^(12*4)))/(0.03/12)}
18500 = Annuity *45.1787
Monthly Annuity = 18500/45.1787 = 409.4850
Monthly payment would be 410$
Interest = Beginning Balance * Interest Rate *1/12
Principal = Monthly Annuity - Interest
Ending Balance = Beginning Balance - Principal
Months | Beginning Balance | Interest | Principal | Monthly Payments | Ending Balance |
1 | 18500 | 46.25 | ₹ 363.24 | ₹ 409.49 | ₹ 18,136.76 |
2 | ₹ 18,136.76 | 45.34191238 | ₹ 364.14 | ₹ 409.49 | ₹ 17,772.62 |
3 | ₹ 17,772.62 | 44.43155453 | ₹ 365.05 | ₹ 409.49 | ₹ 17,407.57 |
4 | ₹ 17,407.57 | 43.5189208 | ₹ 365.97 | ₹ 409.49 | ₹ 17,041.60 |
5 | ₹ 17,041.60 | 42.60400548 | ₹ 366.88 | ₹ 409.49 | ₹ 16,674.72 |
6 | ₹ 16,674.72 | 41.68680287 | ₹ 367.80 | ₹ 409.49 | ₹ 16,306.92 |
7 | ₹ 16,306.92 | 40.76730725 | ₹ 368.72 | ₹ 409.49 | ₹ 15,938.21 |
8 | ₹ 15,938.21 | 39.8455129 | ₹ 369.64 | ₹ 409.49 | ₹ 15,568.57 |
9 | ₹ 15,568.57 | 38.92141405 | ₹ 370.56 | ₹ 409.49 | ₹ 15,198.00 |
10 | ₹ 15,198.00 | 37.99500497 | ₹ 371.49 | ₹ 409.49 | ₹ 14,826.51 |
11 | ₹ 14,826.51 | 37.06627986 | ₹ 372.42 | ₹ 409.49 | ₹ 14,454.09 |
12 | ₹ 14,454.09 | 36.13523293 | ₹ 373.35 | ₹ 409.49 | ₹ 14,080.74 |
13 | ₹ 14,080.74 | 35.20185839 | ₹ 374.28 | ₹ 409.49 | ₹ 13,706.46 |
14 | ₹ 13,706.46 | 34.26615041 | ₹ 375.22 | ₹ 409.49 | ₹ 13,331.24 |
15 | ₹ 13,331.24 | 33.32810317 | ₹ 376.16 | ₹ 409.49 | ₹ 12,955.08 |
16 | ₹ 12,955.08 | 32.3877108 | ₹ 377.10 | ₹ 409.49 | ₹ 12,577.99 |
17 | ₹ 12,577.99 | 31.44496745 | ₹ 378.04 | ₹ 409.49 | ₹ 12,199.95 |
18 | ₹ 12,199.95 | 30.49986725 | ₹ 378.99 | ₹ 409.49 | ₹ 11,820.96 |
19 | ₹ 11,820.96 | 29.5524043 | ₹ 379.93 | ₹ 409.49 | ₹ 11,441.03 |
20 | ₹ 11,441.03 | 28.60257268 | ₹ 380.88 | ₹ 409.49 | ₹ 11,060.15 |
21 | ₹ 11,060.15 | 27.65036649 | ₹ 381.83 | ₹ 409.49 | ₹ 10,678.31 |
22 | ₹ 10,678.31 | 26.69577978 | ₹ 382.79 | ₹ 409.49 | ₹ 10,295.52 |
23 | ₹ 10,295.52 | 25.73880661 | ₹ 383.75 | ₹ 409.49 | ₹ 9,911.78 |
24 | ₹ 9,911.78 | 24.779441 | ₹ 384.71 | ₹ 409.49 | ₹ 9,527.07 |
25 | ₹ 9,527.07 | 23.81767698 | ₹ 385.67 | ₹ 409.49 | ₹ 9,141.40 |
26 | ₹ 9,141.40 | 22.85350855 | ₹ 386.63 | ₹ 409.49 | ₹ 8,754.77 |
27 | ₹ 8,754.77 | 21.8869297 | ₹ 387.60 | ₹ 409.49 | ₹ 8,367.17 |
28 | ₹ 8,367.17 | 20.9179344 | ₹ 388.57 | ₹ 409.49 | ₹ 7,978.61 |
29 | ₹ 7,978.61 | 19.94651661 | ₹ 389.54 | ₹ 409.49 | ₹ 7,589.07 |
30 | ₹ 7,589.07 | 18.97267028 | ₹ 390.51 | ₹ 409.49 | ₹ 7,198.56 |
31 | ₹ 7,198.56 | 17.99638933 | ₹ 391.49 | ₹ 409.49 | ₹ 6,807.07 |
32 | ₹ 6,807.07 | 17.01766768 | ₹ 392.47 | ₹ 409.49 | ₹ 6,414.60 |
33 | ₹ 6,414.60 | 16.03649923 | ₹ 393.45 | ₹ 409.49 | ₹ 6,021.15 |
34 | ₹ 6,021.15 | 15.05287786 | ₹ 394.43 | ₹ 409.49 | ₹ 5,626.72 |
35 | ₹ 5,626.72 | 14.06679743 | ₹ 395.42 | ₹ 409.49 | ₹ 5,231.30 |
36 | ₹ 5,231.30 | 13.0782518 | ₹ 396.41 | ₹ 409.49 | ₹ 4,834.89 |
37 | ₹ 4,834.89 | 12.0872348 | ₹ 397.40 | ₹ 409.49 | ₹ 4,437.50 |
38 | ₹ 4,437.50 | 11.09374027 | ₹ 398.39 | ₹ 409.49 | ₹ 4,039.10 |
39 | ₹ 4,039.10 | 10.09776199 | ₹ 399.39 | ₹ 409.49 | ₹ 3,639.72 |
40 | ₹ 3,639.72 | 9.099293776 | ₹ 400.39 | ₹ 409.49 | ₹ 3,239.33 |
41 | ₹ 3,239.33 | 8.098329387 | ₹ 401.39 | ₹ 409.49 | ₹ 2,837.95 |
42 | ₹ 2,837.95 | 7.094862588 | ₹ 402.39 | ₹ 409.49 | ₹ 2,435.55 |
43 | ₹ 2,435.55 | 6.088887121 | ₹ 403.40 | ₹ 409.49 | ₹ 2,032.16 |
44 | ₹ 2,032.16 | 5.080396715 | ₹ 404.40 | ₹ 409.49 | ₹ 1,627.75 |
45 | ₹ 1,627.75 | 4.069385084 | ₹ 405.42 | ₹ 409.49 | ₹ 1,222.34 |
46 | ₹ 1,222.34 |
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