![]() ![]() The schedule differentiates the portion of payment that belongs to interest expense from the portion used to close the gap of a discount or premium from the principal after each payment. The percentage of interest versus principal in each payment is determined in an amortization schedule. ![]() ![]() A portion of each payment is for interest while the remaining amount is applied towards the principal balance. Amortization refers to the process of paying off a debt (often from a loan or mortgage) over time through regular payments. Table detailing each periodic payment on an amortizing loanĪn amortization schedule is a table detailing each periodic payment on an amortizing loan (typically a mortgage), as generated by an amortization calculator. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |