EMI Formula
Expression: EMI = P × r × (1+r)^n / ((1+r)^n − 1)
The EMI formula calculates fixed monthly loan payments where each installment includes principal and interest. P is principal, r is monthly interest rate (annual rate ÷ 12 ÷ 100), and n is tenure in months.
Example: ₹10 lakh loan at 10% for 5 years
P = ₹10,00,000, r = 0.10/12, n = 60
EMI = 10,00,000 × 0.00833 × (1.00833)^60 / ((1.00833)^60 − 1)
Result: EMI ≈ ₹21,247 per month