Forum Discussion
Interest calculation formula
Hi Team, I need help with interest calculation formula. Interest should be charged as 21%. So it should be C2*0.21/12. As per my knowledge we cannot charge Interest on interest amount hence, ...
Instead of an image, please attach your sample Excel file to facilitate testing.
Although you see no IF, the Boolean formula in E2 of the attached file means that "One-month interest is calculated on the arrears, only if such arrears are more than zero". See the effect of that formula in the snapshot below:
Hi Twifoo
We need to round up that figure. So if it is 22.49, it should reflect 22. If 22.51, it should reflect 23.
Also, we cannot add interest on previous interest amount hence, from arrears, we have to deduct previous interest till arrears is >0. Once arrears is <=0, we need to stop deducting interest from arrears.
Thanks.