Can Anybody Tell Me About Amortization Schedule And Different Kinds Of Such A Schedule?
Amortization Schedule: A table in which detailed information about loan is given on periodic basis is called an Amortization Schedule. This schedule enlists information that how much dollar amount has been put towards interest besides enlisting the information about the specific put towards the principal basis as a portion of every payment goes in interest as well as in adjusting the principal balance. Initially when loan payment is not matured a large portion of payment is deducted but once the loan payment is matured then larger portions of payment go towards paying down the principal. There are different kinds of Amortization which are the following; i. Straight Line (Liner) ii. Declining Balance iii. Annuity iv. Bullet v. Increasing Balance Chronological order is being followed in Amortization schedules means rather than on the first day (the amortization date) of the loan the first payment takes place on one full payment period after the loan was taken out. However the remainder o
