xHarbour Reference Documentation > Function Reference

Payment()

Calculates a periodical payment for loans.

Syntax

Payment( <nLoan>         , ;
         <nInterestRate> , ;
         <nPeriods>        ) --> nPayment

Arguments

<nLoan>

A numeric value defining the amount of borrowed capital.

<nInterestRate>

This parameter defines a constant interest rate per period during the periods of paying back a loan in the range of 0 to 1 (1 equals 100% interest rate).

<nPeriods>

This is a numeric value defining the number of periods to pay back the loan.

Return

The function returns a numeric value. It is the constant payment necessary to pay back a loan over <nPeriods> amounts of time at a fixed interest rate.

Info

See also:	Fv(), Periods(), Pv(), Rate()
Category:	CT:Math , Financial functions , Mathematical functions
Source:	ct\finan.c
LIB:	xhb.lib
DLL:	xhbdll.dll

Example

// The example calculates the monthly payment required to pay back
// a loan of 10000 units of money over a period of 36 months at an
// interest rate of 8% per year.

   PROCEDURE Main
      LOCAL nLoan       := 10000      // borrowed capital
      LOCAL nInterest   := 0.08/12    // monthly interest rate
      LOCAL nMonths     := 36         // total payback period

      ? Payment( nLoan, nInterest, nMonths )  // result: 313.36

   RETURN