CALCULATING AN AMORTIZATION SCHEDULE
of the loan. Using a three-month, $100 loan with monthly payments of $34.68 and no additional costs, the calculator continually adjusts the value of / (interest) until the sum of the Formula column equals the present value of the loan ($100 in this case). Payment Period Payment Formula 1 34.68 34.68 (1 + i)1 2 34.68 34.68 (1 + i)2 3 34.67 34.68 ................
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