iam creating some simple loan calculation.
let say iam taking 1000USD with 8% Interest loan for 1 year, and payable for 12 Month.
To get the total interest paid:
(1000USD x 8%) + 1000USD = 1080USD (total interest + Principal)
For Monthly installment :
1080USD / 12 Month = 90USD (Monthly Installment)
Monthly Interest is :
8%/12 = 0.006667
And to get the monthly interest of each month will be:
(Current Loan Balance x Monthly Interest)
Here is payment schedule for 12 month:
Month | Installment | Principal | Interest |
1 | 90 | 82.80 | 7.20 |
2 | 90 | 83.40 | 6.60 |
3 | 90 | 84.00 | 6.00 |
4 | 90 | 84.60 | 5.40 |
5 | 90 | 85.20 | 4.80 |
6 | 90 | 85.80 | 4.20 |
7 | 90 | 86.40 | 3.60 |
8 | 90 | 87.00 | 3.00 |
9 | 90 | 87.60 | 2.40 |
10 | 90 | 88.20 | 1.80 |
11 | 90 | 88.80 | 1.20 |
12 | 90 | 89.40 | 0.60 |
-------|--------------|------------|----------|
TOTAL | 1080 | 1033.20 ** | 46.80 ** |
The problem is the ** sign on the total. where the
Total Principal for 12 Month is 1033.20
&
Interest is 46.80
where it should be
Total Principal = 1000
Total Interest = 80
anyone have a clue why this is happening?
