07 April 2011
Excel PMT function can be used to calculate loan installments where installments are of equal amount.
Just use the following steps:
let Loan amt - 500,000 Interest rate PM - 1% (per month rate as inst. are of monthly basis) Present value of Loan= loan amt- any down payment, Let 500000-100000(down payment)=400000
Calculation= =PMT(loan,rate,PV) that give u Monthly installment amt..
07 April 2011
dear sir thanks for help but i am not able to understand so please give me some example for pmt function in excel i want calculate monthly installment for one year for loan amount one lack rupees thanks
CAclubindia
