The Amortization and Annuities program calculates the regular payments required to pay off a debt and the accumulation of capital from a single deposit or from regular deposits.

The regular monthly payment required to pay off a loan is computed by entering the Initial Balance of the loan, the Annual Interest Rate, and the Duration of the Loan in years or in months. The calculation assumes that there are twelve payments in the year.

Once the three required numbers are entered, three results are displayed: The amount of the Regular Monthly Payment, The sum of the Total Payments, and The Total Interest Paid. In addition, the button for displaying the Amortization Schedule and the Print button are activated.

The Menu Bar of the Amortization Calculation form has the options:

**Description**- describes the functions of the program**Help**- displays this help file**About**- displays Copyright information

The Amortization Schedule provides a detailed description of the principal and interest in each monthly payment during the life of the loan. The initial values for the schedule are obtained from the Amortization Calculation form. Five columns are listed in the schedule:

**Payment number**- The sequential number of each payment.**Principal**- The amount of principal paid for the current payment number.**Interest**- The interest paid for the current payment number.**Int.-to-date**- The interest paid on the loan thus far.**Balance**- The amount of principal remaining unpaid.

The Principal plus the interest for each payment number always add up to the regular monthly payment,
plus additional principal, if any. The only exception may be the last payment.
The __Additional Principal__ field makes it possible to determine how much money can be saved in interest payments.
When a number is entered in this field, the Duration of the Loan, and the estimated savings are displayed.

The *Next Year* button displays the complete schedule one year at a time. At the end of each year the
total Principal and Interest for the year are displayed with the abbreviation YTD (Year-To-Date).
The month and year when the payments start can be set if it is necessary to determine the
principal and interest paid on a calendar year basis.

The *Print* button prints the complete schedule on the default printer.

Note: The totals obtained from the Amortization Calculation and the Amortization Schedule may differ due to rounding the Monthly Payment to the nearest cent. A one cent difference in the monthly payment of a 30-year loan may cause a discrepancy of up to $3.60.

These calculations determine the accumulation of capital from a single deposit or from regular deposits.

__Future value of a Single Deposit__- requires input of the amount deposited, the annual interest rate, and the duration of the deposit in years. Monthly or daily compounding may be specified.__Single Deposit required to achieve a Future Value__- requires input of the desired amount, the annual interest rate and the duration of the deposit. This is related to the above calculation.

__Future Value of Regular Deposits__- requires input of the regular deposit amount, the annual interest rate, the number of deposits per year, and the duration of the loan in years.__Regular Deposits required to achieve a Future Value__- requires the amount of the future value desired, the annual interest rate, the number of deposits per year, and the duration of the loan in years.

For both of these calculations the number of deposits should be 12 for monthly deposits, 26 for biweekly deposits, or 52 for weekly deposits.

© Copyright - Antonio Zamora