Payment

Calculate the payment for an investment

Declaration

Source position: math.pp line 620

  function Payment(ARate: Float; NPeriods: Integer; APresentValue: Float; 
                  AFutureValue: Float; APaymentTime: TPaymentTime) : Float;

Description

Payment calculates the amount that must be payed (PMT) during number of periods (n) needed to obtain future value of an investment in the cash flow formula (see CashFlowFunctions ). The function result is the amount (PMT) that must be paid in order to obtain a future value AFutureValue for an investment of a start value APresentValue (PV), where the amount must be payed NPeriods (PMT) and the interest rate isARate (q).

The APaymentTime parameter determines whether the investment (payment) is an ordinary annuity or an annuity due: ptEndOfPeriod NumberOfPeriods must be used if payments are at the end of each period. If the payments are at the beginning of the periode, ptStartOfPeriod must be used.

See also