The formula to calculate the Monthly Payment (p) is:
\[ p = LA \left( \frac{R (1 + R)^{CP}}{(1 + R)^{CP} - 1} \right) \]
Where:
The Monthly Payment is the amount a borrower is required to pay each month until a debt is paid off.
Loan Amount is the original principal on a new loan or principal remaining on an existing loan.
Interest Rate is the amount charged, expressed as a percentage of the principal, by a lender to a borrower for the use of assets.
Compounding Periods is the number of times compounding will occur during a period.
Let's assume the following values:
Using the formula:
\[ p = LA \left( \frac{R (1 + R)^{CP}}{(1 + R)^{CP} - 1} \right) \]
Evaluating:
\[ p = 20000 \left( \frac{0.2 (1 + 0.2)^{10}}{(1 + 0.2)^{10} - 1} \right) \]
The Monthly Payment is 4770.45513765718.
| Loan Amount | Interest Rate | Compounding Periods | Monthly Payment |
|---|---|---|---|
| 10000 | 0.2 | 10 | 2,385.22756882859176 |
| 11000 | 0.2 | 10 | 2,623.75032571145084 |
| 12000 | 0.2 | 10 | 2,862.27308259430993 |
| 13000 | 0.2 | 10 | 3,100.79583947716947 |
| 14000 | 0.2 | 10 | 3,339.31859636002855 |
| 15000 | 0.2 | 10 | 3,577.84135324288764 |
| 16000 | 0.2 | 10 | 3,816.36411012574672 |
| 17000 | 0.2 | 10 | 4,054.88686700860580 |
| 18000 | 0.2 | 10 | 4,293.40962389146534 |
| 19000 | 0.2 | 10 | 4,531.93238077432397 |
| 20000 | 0.2 | 10 | 4,770.45513765718351 |
| 21000 | 0.2 | 10 | 5,008.97789454004305 |
| 22000 | 0.2 | 10 | 5,247.50065142290168 |
| 23000 | 0.2 | 10 | 5,486.02340830576122 |
| 24000 | 0.2 | 10 | 5,724.54616518861985 |
| 25000 | 0.2 | 10 | 5,963.06892207147939 |
| 26000 | 0.2 | 10 | 6,201.59167895433893 |
| 27000 | 0.2 | 10 | 6,440.11443583719756 |
| 28000 | 0.2 | 10 | 6,678.63719272005710 |
| 29000 | 0.2 | 10 | 6,917.15994960291573 |
| 30000 | 0.2 | 10 | 7,155.68270648577527 |
| 31000 | 0.2 | 10 | 7,394.20546336863481 |
| 32000 | 0.2 | 10 | 7,632.72822025149344 |
| 33000 | 0.2 | 10 | 7,871.25097713435298 |
| 34000 | 0.2 | 10 | 8,109.77373401721161 |
| 35000 | 0.2 | 10 | 8,348.29649090007115 |
| 36000 | 0.2 | 10 | 8,586.81924778293069 |
| 37000 | 0.2 | 10 | 8,825.34200466579023 |
| 38000 | 0.2 | 10 | 9,063.86476154864795 |
| 39000 | 0.2 | 10 | 9,302.38751843150749 |
| 40000 | 0.2 | 10 | 9,540.91027531436703 |
| 41000 | 0.2 | 10 | 9,779.43303219722657 |
| 42000 | 0.2 | 10 | 10,017.95578908008611 |
| 43000 | 0.2 | 10 | 10,256.47854596294383 |
| 44000 | 0.2 | 10 | 10,495.00130284580337 |
| 45000 | 0.2 | 10 | 10,733.52405972866291 |
| 46000 | 0.2 | 10 | 10,972.04681661152244 |
| 47000 | 0.2 | 10 | 11,210.56957349438198 |
| 48000 | 0.2 | 10 | 11,449.09233037723970 |
| 49000 | 0.2 | 10 | 11,687.61508726009924 |
| 50000 | 0.2 | 10 | 11,926.13784414295878 |
| 51000 | 0.2 | 10 | 12,164.66060102581832 |
| 52000 | 0.2 | 10 | 12,403.18335790867786 |
| 53000 | 0.2 | 10 | 12,641.70611479153558 |
| 54000 | 0.2 | 10 | 12,880.22887167439512 |
| 55000 | 0.2 | 10 | 13,118.75162855725466 |
| 56000 | 0.2 | 10 | 13,357.27438544011420 |
| 57000 | 0.2 | 10 | 13,595.79714232297374 |
| 58000 | 0.2 | 10 | 13,834.31989920583146 |
| 59000 | 0.2 | 10 | 14,072.84265608869100 |
| 60000 | 0.2 | 10 | 14,311.36541297155054 |
| 61000 | 0.2 | 10 | 14,549.88816985441008 |
| 62000 | 0.2 | 10 | 14,788.41092673726962 |
| 63000 | 0.2 | 10 | 15,026.93368362012734 |
| 64000 | 0.2 | 10 | 15,265.45644050298688 |
| 65000 | 0.2 | 10 | 15,503.97919738584642 |
| 66000 | 0.2 | 10 | 15,742.50195426870596 |
| 67000 | 0.2 | 10 | 15,981.02471115156550 |
| 68000 | 0.2 | 10 | 16,219.54746803442322 |
| 69000 | 0.2 | 10 | 16,458.07022491728276 |
| 70000 | 0.2 | 10 | 16,696.59298180014230 |
| 71000 | 0.2 | 10 | 16,935.11573868300184 |
| 72000 | 0.2 | 10 | 17,173.63849556586138 |
| 73000 | 0.2 | 10 | 17,412.16125244872092 |
| 74000 | 0.2 | 10 | 17,650.68400933158046 |
| 75000 | 0.2 | 10 | 17,889.20676621443999 |
| 76000 | 0.2 | 10 | 18,127.72952309729590 |
| 77000 | 0.2 | 10 | 18,366.25227998015544 |
| 78000 | 0.2 | 10 | 18,604.77503686301498 |
| 79000 | 0.2 | 10 | 18,843.29779374587451 |
| 80000 | 0.2 | 10 | 19,081.82055062873405 |
| 81000 | 0.2 | 10 | 19,320.34330751159359 |
| 82000 | 0.2 | 10 | 19,558.86606439445313 |
| 83000 | 0.2 | 10 | 19,797.38882127731267 |
| 84000 | 0.2 | 10 | 20,035.91157816017221 |
| 85000 | 0.2 | 10 | 20,274.43433504303175 |
| 86000 | 0.2 | 10 | 20,512.95709192588765 |
| 87000 | 0.2 | 10 | 20,751.47984880874719 |
| 88000 | 0.2 | 10 | 20,990.00260569160673 |
| 89000 | 0.2 | 10 | 21,228.52536257446627 |
| 90000 | 0.2 | 10 | 21,467.04811945732581 |
| 91000 | 0.2 | 10 | 21,705.57087634018535 |
| 92000 | 0.2 | 10 | 21,944.09363322304489 |
| 93000 | 0.2 | 10 | 22,182.61639010590443 |
| 94000 | 0.2 | 10 | 22,421.13914698876397 |
| 95000 | 0.2 | 10 | 22,659.66190387162351 |
| 96000 | 0.2 | 10 | 22,898.18466075447941 |
| 97000 | 0.2 | 10 | 23,136.70741763733895 |
| 98000 | 0.2 | 10 | 23,375.23017452019849 |
| 99000 | 0.2 | 10 | 23,613.75293140305803 |
| 100000 | 0.2 | 10 | 23,852.27568828591757 |