The _______ function returns the amount of a particular payment that is used to pay the interest on the loan.
A)PMT
B)IPMT
C)INPMT
D)NPMT

Question

Quizplus · Accepted Answer

The IPMT function (Interest Payment) is specifically designed to calculate the interest portion of a loan payment. PMT calculates the total payment, while NPMT is used to calculate the principal portion of the payment. INPMT is not a valid Excel function.

The _______ Function Returns the Amount of a Particular Payment