To calculate the monthly interest on a loan repayment using Excel, you can use the PMT (Payment) function. The PMT function returns the payment amount for a loan based on the interest rate, number of payments, and loan amount.

To calculate the monthly interest using Excel

Open Microsoft Excel and create a new spreadsheet.
In cell A1, type /”Loan Amount/” and in cell A2, type /”Interest Rate./”
In cell A3, type /”Number of Payments/” and in cell A4, type /”Monthly Payment./”
In cell B1, enter the total amount of the loan.
In cell B2, enter the annual interest rate as a decimal (for example, 6% would be entered as 0.06).
In cell B3, enter the total number of payments for the loan.
In cell B4, enter the PMT function as follows: =PMT(B2/12,B3,B1).
B2/12 is the monthly interest rate calculated by dividing the annual interest rate by 12.
B3 is the total number of payments for the loan.
B1 is the loan amount.
Press enter to calculate the monthly payment amount.
Once you have completed these steps, you will have calculated the monthly interest for a loan repayment using Excel. You can adjust the loan amount interest rate and number of payments as needed to see how they impact the monthly payment amount.
#interest #pmt #excel #PPMT #NPER

Please take the opportunity to connect and share this video with your friends and family if you find it useful.