Making Count Master In Gdevelop

EMI Sheet Detailed Notes

This guide explains the columns and formulas used in the EMI sheet to calculate loan payments, interest, and principal components.

Columns Description

• Loan Amount: This column shows the principal amount of the loan.
• Annual Interest Rate: The annual interest rate applicable to the loan.
• Loan Term (Years): The duration of the loan in years.
• Monthly Interest Rate: The monthly interest rate calculated as Annual Interest Rate / 12.
• Number of Payments: The total number of monthly payments, calculated as Loan Term * 12.
• Monthly EMI: The equated monthly installment, calculated using the PMT function.

EMI Calculation

The EMI is calculated using the PMT function:

    PMT(rate, nper, pv)
    Where:
    - rate is the monthly interest rate
    - nper is the number of payments
    - pv is the loan amount (present value)
    

Example formula: =PMT(Monthly Interest Rate, Number of Payments, -Loan Amount)

Interest and Principal Breakdown

• Interest Payment (IPMT): The interest portion of the EMI for a specific period.
• Principal Payment (PPMT): The principal portion of the EMI for a specific period.

The IPMT and PPMT functions are used to break down the EMI into interest and principal components:

    IPMT(rate, per, nper, pv)
    PPMT(rate, per, nper, pv)
    Where:
    - rate is the monthly interest rate
    - per is the period for which the interest or principal is calculated
    - nper is the number of payments
    - pv is the loan amount (present value)
    

Example formula for interest payment in the first period: =IPMT(Monthly Interest Rate, 1, Number of Payments, -Loan Amount)

Example formula for principal payment in the first period: =PPMT(Monthly Interest Rate, 1, Number of Payments, -Loan Amount)

Example

For a loan amount of $100,000 with an annual interest rate of 6% and a loan term of 10 years:

• Monthly Interest Rate: 0.5% (calculated as 6% / 12)
• Number of Payments: 120 (calculated as 10 * 12)
• Monthly EMI: $1,110.21 (calculated using =PMT(0.5%, 120, -100000))
• First Month Interest Payment: $500 (calculated using =IPMT(0.5%, 1, 120, -100000))
• First Month Principal Payment: $610.21 (calculated using =PPMT(0.5%, 1, 120, -100000))

Practice

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