PPMT( ) function
Returns the principal paid on a loan for a single period.
Syntax
PPMT(rate, specified_period, periods, amount <,type>)
Parameters
| Name | Type | Description |
|---|---|---|
| rate | numeric |
The interest rate per period. |
| specified_period | numeric |
The period for which you want to find the principal payment. |
| periods | numeric |
The total number of payment periods. |
| amount | numeric |
The principal amount of the loan. |
|
type optional |
numeric |
The timing of payments:
If omitted, the default value of 0 is used. |
Note
You must use consistent time periods when specifying rate and periods to ensure that you are specifying interest rate per period.
For example:
- for monthly payments on a two-year loan or investment with interest of 5% per annum, specify 0.05/12 for rate and 2 * 12 for periods
- for annual payments on the same loan or investment, specify 0.05 for rate and 2 for periods
Output
Numeric.
Examples
Basic examples
Returns 367.24, the principal paid in the first month of a twenty-five year, $275,000 loan at 6.5% per annum, with payments due at the end of the month:
PPMT(0.065/12, 1, 12*25, 275000, 0)
Returns 1846.82, the principal paid on the same loan in the last month of the loan:
PPMT(0.065/12, 300, 12*25, 275000, 0)
Remarks
Related functions
The IPMT( ) function is the complement of the PPMT( ) function.
The CUMPRINC( ) function calculates principal paid during a range of periods.
ACL Scripting Guide 14.1