PMT Rate Nper Pv Fv

($1,074.65) 0.50% 240 $150,000 0

Monthly payment Rate of interest Number of payments Loan amount

0.5%

Consider a loan with monthly payments, an annual interest rate of 6%, a 20-year duration, a present value of $150,000 (am
borrowed) and a future value of 0 (that's what you hope to achieve when you pay off a loan), and making monthly paymen

125000000
1000000
125
ent value of $150,000 (amount
making monthly payments
Nominal Value 100 Year Cash Inflow Discount Factor PV of Cash Inflows
Coupon Rate 6% 1 6 0.948 5.687
Maturity 10 years 2 6 0.898 5.391
Credit Quality A 3 6 0.852 5.110
Market Rate 6% 4 6 0.807 4.843
5 6 0.765 4.591
6 6 0.725 4.351
7 6 0.687 4.125
8 6 0.652 3.910
9 6 0.618 3.706
10 106 0.585 62.056
Market Price 103.77
PV of Outflow 100
NPV 3.77
IRR
YEAR CASH FLOWS bond IRR = YTM
0 -350000
1 40000
2 75000
3 62000
4 121000
5 280000
6 56000
7 32000
17.21%
 1/(1+r)^n

PV = FV/(1+r)^n
FV = PV*(1+r)^n