This paper demonstrates how easy it is use Microsoft Excel’s CUMPRINC and CUMIPMT functions to compute principal and interest paid for an entire year, even though the payments were made monthly. The CUMPRINC function computes the principal paid by a series of loan payments; the CUMIPMT function computes the interest paid. These two functions provide an alternative to preparing a monthly loan amortization schedule and adding up the amounts of monthly interest paid and principal paid for the year.
Computing Cumulative Interest and Principal Paid for a Calendar Year (728.0 KiB, 4,649 hits)
