nNeeds
three values to compute the payments on the loan

nThe
interest rate period

nThe
number of periods

nThe
amount of the loan

n

nExample
=PMT(.05/12,24,-10000)

n.05/12
= interest rate period = annual rate
divided by 12

n24
= number of periods = 2 years * 12 months
in a year

n10000
= amount of loan, entered as a negative
amount

=PMT(B5/12,B6*12,-B4)

nUse
cell numbers to calculate terms of a specific
loan

nB5
contains the interest rate

nB6
contains the the period in years

nB4
contains the amount of the loan

Objective
# 2

Paste
Function

nPurpose

nTo
be able to select arguments for the function
that you typed

nHow
to use the Paste Function

nOnce
you have put a formula in a cell, click the
symbol that looks like a italicized f
with a star next to it that is to the right of
the formula bar.

nThe
‘paste function dialogue box’ should now
appear.

nSelect
which function you would like to use (we will
be using the PMT function).

nThen
type in the arguments. (In the PMT function,
you only need to insert arguments for the
first three.)

nThe
formula bar should say the function you
selected times the three arguments you just
put in and then the cell in which you
selected.