Victor Technology V12 manual Amort

V I C T O R T E C H N O L O G Y

•Enter the number of payments that will be amortized using n

•Push b AMORT (will display amount from payments that will be applied to interest)

•Push x↔y (will display amount from payments that will be applied to principal)

• Push R↓ R↓ (will display number of payments to be amortized)

•Push RCL PV (will display remaining balance)

• Push RCL n (will display total number of payments amortized

If you repeat the Amortization function after an initial calculation, the V12 picks up where you left off. In other words, after you calculate the interest and principle paid after one year, the V12 resets the present value of the loan to the principle after one year. Calculation of Amortization will start from this point.

A common application of the Amortization function is to determine the amount of interest and principle paid on a mortgage for a given time period. The example below illustrates a 30 year loan with a principle of $400,000, a 6% annual interest rate, and monthly payment of $2,398.20. The task is to determine the interest and principle paid after 5 years or 60 months.

Example

ENTRIES (RPN)									DISPLAY
									0.00
	b				FIN
									Clears the financial registers.
									0.50
6			r i						Displays the interest rate of 6% per year or 0.5%
									per month.
									400.000.00
400000						PV
									Displays the loan amount or present value.
									-2,398.20
2398.20			CHS				PMT		Displays the payment required to pay off the loan
									in 30 years (calculated in an earlier example)
									-116,109.58
60 b				AMORT
									Displays the total interest paid after 60 months.
									-27,782.42
		x ↔ y
									Displays the total principle paid after 60 months
								21