Microsoft Excel Tutorial: Payment Functions and Loans

This video tutorial covers the concept of payment functions and loans, focusing on equated monthly installments. It introduces the PMT function, which calculates loan payments including principal and interest but excluding taxes. The tutorial explains the formula components such as rate, nper, and PV, and discusses optional values like future value and payment type. An example calculation is provided to demonstrate the application of the PMT function, resulting in a monthly installment amount. The session concludes with an invitation for questions.

What is the purpose of the PMT function in financial calculations?

Explain the components of the PMT formula.

What does the 'type' parameter in the PMT function signify?

How do you calculate the monthly loan installment using the PMT function?

What is included in the monthly loan installment calculated by the PMT function?