numpy.ipmt () in Python



numpy.ipmt (rate, nper, pv, fv, when = & # 39; end & # 39;) : this financial function helps the user to calculate the payment amount only based on interest. those. returns the percentage.

Parameters:
rate: [scalar or (M,) array] Rate of interest as decimal (not per cent) per period
nper: [scalar or (M,) array] total compounding periods
fv: [scalar or (M ,) array] Future value
pv: [scalar or (M,) array] present value
when: at the beginning (when = { `begin`, 1}) or the end (when = {`end`, 0}) of each period.Default is {`end`, 0}

Return: Payment value ie. the interest part of it.

The equation is being solved:

fv + pv * (1 + rate) ** nper + pmt * (1 + rate * when) / rate * ((1 + rate) ** nper – 1) == 0

or when rate == 0
fv + pv + pmt * nper == 0

Code :

# Python program explaining
# ipmt () function

 

import numpy as np 

“ »»
Question:

 
monthly payment required to pay off $ 10,000 loan
after 12 years at 60% annual interest rate
"" "

  

Solution = np.ipmt ( 0.6 / 12 , 2 * 12 , 1 * 12 , 10000 )

 
# Here fv = 0; Also the default is fv = 0

print ( " Solution - ipmt value: " , Solution) 

Exit :

 Solution - ipmt value: 801.4432933339593