PMT

Updated 2024-02-28 20:32:17.467000

Syntax

SELECT [westclintech].[wct].[PMT] (
  <@Rate, float,>
 ,<@Nper, float,>
 ,<@PV, float,>
 ,<@FV, float,>
 ,<@Pay_type, int,>)

Description

Use the scalar function PMT to calculate the periodic payment for an annuity.

Arguments

@Pay_type

the number 0 or 1 and indicates when payments are due. @Pay_type is an expression of type int or of a type that can be implicitly converted to int. If @Pay_type is NULL it is assumed to be 0.

{"columns":[{"field":"Set @Pay_type equal to","headerClass":"ag-right-aligned-header","cellClass":"ag-right-aligned-cell","width":157},{"field":"If payments are due","width":192}],"rows":[{"Set @Pay_type equal to":"0","If payments are due":"At the end of a period"},{"Set @Pay_type equal to":"1","If payments are due":"At the beginning of a period"}]}

@Rate

the interest rate per period. @Rate is an expression of type float or of a type that can be implicitly converted to float.

@FV

the future value at the end of the annuity. @FV is an expression of type float or of a type that can be implicitly converted to float.

@Nper

the total number of periods in the annuity to be calculated. @Nper is an expression of type float or of a type that can be implicitly converted to float.

@PV

the present value of the future payments . @PV is an expression of type float or of a type that can be implicitly converted to float. ## Return Type float

Remarks

If @Pay_type is equal to 0, PMT is calculated as

PMT = (@PV+((@PV+@FV)/(((1+@Rate)^@Nper)-1)))*@Rate

If @Pay_type is equal to 1, PMT is calculated as

PMT = (@PV+((@PV+@FV)/(((1+@Rate)^@Nper)-1)))*(@Rate/(1+@rate))

It is important to be consistent with the units for @Rate and @Nper. For example if payments are to be paid monthly, then @Rate should be the monthly rate, which can be specified as the annual rate divided by 12. If payments are made quarterly, divide the annual rate by 4. If payments are made semi-annually, divide the annual rate by 2.

Examples

SELECT wct.PMT(.06 / 12, 12 * 20, -400000, 100000, 1);

Here is the result set.

{"columns":[{"field":"column 1","headerClass":"ag-right-aligned-header","cellClass":"ag-right-aligned-cell"}],"rows":[{"column 1":"2636.11261237266"}]}