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LOAN ARMOTIZATION SCHEDULE - REDUCING BALANCE 

Aringo Fredrick
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The interest payable (each instalment) = Outstanding loan amount x interest rate applicable for each instalment. So, after every instalment, your principal amount decreases, which in turn reflects on the effective interest rate.

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10 янв 2023

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Комментарии : 14   
@thriveconceptsinvestments184
@thriveconceptsinvestments184 Год назад
What of situations when you are asked to calculate amortization schedule for the last 4months
@aristotlebright2878
@aristotlebright2878 6 месяцев назад
And also at what stage do you have to divide the rate by 12 months?
@aristotlebright2878
@aristotlebright2878 6 месяцев назад
Is it advisable to divide the rate by the the number of months when it is p.a?
@maryhillarykarungi8464
@maryhillarykarungi8464 Год назад
Wow u are so good!!
@eltonloverboy
@eltonloverboy 7 месяцев назад
Why dont u use the decimal points ? Like instead of 922.3 u just wrote 922
@warsamehared8504
@warsamehared8504 4 месяца назад
what about if there is no installment but compounded yearly
@user-co2rg8ds1s
@user-co2rg8ds1s 9 месяцев назад
Why have you adding the balance and interest to get the principal due, I thought you are supposed to subtract
@florenceopilo5037
@florenceopilo5037 Год назад
Nice one👍👍
@AringoFredrick
@AringoFredrick 11 месяцев назад
Thanks ✌️
@KansiimeEsther-oj9vg
@KansiimeEsther-oj9vg Месяц назад
What of increasing bal
@thevisionary5005
@thevisionary5005 Год назад
Compounded monthly Why didn’t you multiply the year by 12
@ndapewoshalindahafa5891
@ndapewoshalindahafa5891 Год назад
yes I also want to know this,
@kimothowanjiku6775
@kimothowanjiku6775 Год назад
The rate is also monthly
@eltonloverboy
@eltonloverboy 7 месяцев назад
And then wrote 843.5 as 844
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