The Principal Remaining equation computes the principal balance on a loan for the ending of a chosen year.

Inputs

This equation will take as input loan information along with choice of year:

• P - principal, the original amount financed
• r - interest entered as a percentage; i.e., enter 4.6 for a 4.6% interest rate
• n - term of loan
• extra_payment - extra monthly payment amount
• yr - request year chosen

The equation will output the principal balance at the end of that year according to information computed with a basic amortization calculation.

Description

The equation will allow you to choose the year of the loan after which the equation will compute the Remaining Principal.

You can also enter an optional fixed monthly payment into the calculation.  The additional monthly payment amount will be applied each payment period to the principal balance.  The extra amount can be left to the default zero value to see results for a Standard Fixed Rate Amortization.