What is IPMT function in Excel? IPMT function is one of the Financial functions in Microsoft Excel that returns the interest payment for a given period for an investment based on periodic, constant payments and a constant interest rate. Syntax of IPMT function IPMT(rate, per, nper, pv, [fv], [type]) The IPMT function syntax has the following arguments: Rate: The interest rate…
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Calculate interest for given period in Excel
To calculate the interest portion of a loan payment in a given period, you can use the IPMT function. Formula =IPMT(rate,period,periods,-loan) Explanation In the example shown, the formula in C10 is: =IPMT(C6/12,1,C8,-C5) How this formula works For this example, we want to calculate the interest portion for payment 1 of a 5-year loan of $5,000 with an interest rate of…