Topic: loan payment list of topics
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	Loan payment formula		2019-02-24
		From Kenneth: I have a question regarding the loan payment formula shown below. Calculating the Payment Amount per Period The formula for calculating the payment amount is shown below. Simple Amortization Calculation Formula A = P X r(1 + r)n over (1 + r)n - 1 where A = payment Amount per period P = initial Principal (loan amount) r = interest rate per period n = total number of payments or periods Is this formula/calculation a condensed version of a longer calculation? I am curious to know how the (1 +r)n - 1 was developed from the longer calculation. For example, r(1 + r)n may have been (r + rn)n. The n's are exponents. I thank you for whatever helpful explanation that may be provided. Kenneth Answered by Harley Weston.
	Compound Interest		1999-07-01
		From Kim Palmer: In early 1997, my son borrowed $4831 at 7.5%. He has made 30 monthly payments of $130 each. He is now in a position to pay off the balance. What is his remaining principal? Answered by Penny Nom.

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