OT - calculating credit-card interest/APR

[Jon Lapham]

jdebert wrote:
> This calculator:
> 
>     http://www.credit-card-calculator.com/calculator.php
> 
> gives a result that seems like it's closer to what it should be.

Huh?  To test the "credit-card-calculator" I put in a balance of $10000 
at an APR of 10% with a payoff time of 24 months.  It claims my monthly 
payments should be $500, or a final payoff total of $12000.  Surely this 
is not correct.

Using GnuCash's very own shiney Financial Calculator (under the Tools 
menu) I set Payment Periods to 24, Interest Rate to 10, Present Value to 
10000, Future Value to 0, Compounding to Daily (365), Paments to 
Monthly, End of Period Payments, and Discrete Compounding.  Clicking on 
"Calculate" for Periodic Payment tells me the payoff amount should be 
$461.64, for a payment total of $11079.36.  That sounds more reasonable.

The docs for the Financial Calculator are found in the "Loans" section 
of the Concept Guide:
http://www.gnucash.org/docs/v1.8/C/gnucash-guide/loans_calcs1.html

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  Jon Lapham  <lapham at jandr.org>                Rio de Janeiro, Brasil
  Personal: http://www.jandr.org/
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