Tutorial of Ramos Family Home Purchase (part 1) in excel on Mac
Notes:
1. Defined name:
A name that refers to a single cell, range of cells, constant value, or formula.a name that refers to a single cell, range of cells, constant value, or formula.
2. PMT function:
PMT(rate, nper, pv, [fv], [type])
Rate (required) - the constant interest rate per period
For example, if you make annual payments on a loan at an annual interest rate of 4.32 percent, use 4.32% or 0.0432 for rate. If you make monthly payments on the same loan, then use 4.32%/12 or 0.0036 for rate
Nper (required) - the number of payments for the loan,
For example, if you make annual payments on a 30-year loan, supply 30 for nper. If you make monthly payments on the same loan, then multiply the number of years by 12, and use 30*12 or 360 for nper.
Pv (required) - the present value( use the Loan Amount as the present value)