PPMT
The principal part of a loan's payment in a period.
Group: Financial. Compatible with DAX.
Syntax
PPMT ( <rate>, <per>, <nper>, <pv> [, <fv>] [, <type>] )| Parameter | Type | Description |
|---|---|---|
rate | Number | The interest rate per period. For monthly payments on a yearly rate, divide that rate by 12. |
per | Number | The period asked about, from 1 to nper. |
nper | Number | How many payment periods there are, all told. |
pv | Number | The amount at the start: what was borrowed, or what was put in. |
fv | Number optional | The balance wanted once the last payment is made; 0 when left out. |
type | Number optional | When the payments fall: 0 (when left out) at the end of each period, 1 at its start. |
Returns
Number. The principal part of that period's payment.
Remarks
- With
IPMTfor the same period it makes up the whole paymentPMTgives. - Cash going out is negative, cash coming in positive. A loan you take is a positive pv, so the payments on it come out negative; a deposit you make is negative.
- A per below 1 or above nper is an error.
- Give rate and nper in the same period: 6 % a year paid monthly for 4 years is a rate of 0.06 / 12 and an nper of 48.
Examples
Repayment in the first and the last month
The loan of 2,000,000 at 4.5 % over 10 years; interest and principal add up to the payment.
EVALUATE
ROW (
"Principal, month 1", PPMT ( 0.045 / 12, 1, 120, 2000000 ),
"Interest, month 1", IPMT ( 0.045 / 12, 1, 120, 2000000 ),
"Payment", PMT ( 0.045 / 12, 120, 2000000 ),
"Principal, month 120", PPMT ( 0.045 / 12, 120, 120, 2000000 )
)| Principal, month 1 | Interest, month 1 | Payment | Principal, month 120 |
|---|---|---|---|
| -13227.6817514034 | -7500 | -20727.6817514034 | -20650.2433388828 |