Calculate Interest solve for I. The PV or present value portion of the loan. Calculate the amount of interest on 870000 when earning 325 percent per annum for three years.
In this equation Pmt is the monthly payment amounts r is the monthly interest rate and n is the number of months.
Note that you use a monthly interest rate 5 12 months and you adjust the number of periods to 60 months. 360 where i interest rate n to the power of n. Formula to Calculate Simple Interest SI Simple Interest SI is a way of calculating the amount of interest that is to be paid on the principal and is calculated by an easy formula which is by multiplying the principal amount with the rate of interest and the number of periods for which the interest has to be paid. 00083 x 100 083.