Getting Started - Simple Example
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A simple example to get started.
The quickest way to learn how to use WinAmort Professional is to quickly work through a simple example, from problem to solution. Then to create a report, print out the report, and finally exporting the data to Excel or Word. |
The following are standards the help follows for each form and illustrated examples.
EXAMPLE |
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All example problems will be designated with the above illustrated two color blue box.
icon means you can either use the scroll wheel to carry out a function or use the right click button. |
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This solve icon will be followed by the problem or variable to be computed or solved. |
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This action icon will be followed by steps needed to solve the Example question. |
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Any Tips and Shortcuts to working with WinAmort Pro will be preceded by this light bulb icon. |
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The smiley face is followed by the solution or answer to the question, when solved. |
Lets begin...
Getting Started - Simple Example |
Mr. and Mrs. Smith would like to purchased a business for $500,000. They can make a down payment of $100,000 and will need to finance the rest with a business loan of $400,000 at 5.25%. If they can get the loan, they can close on May 1, 2011 and they will begin to make payments 1 month later on June 1, 2011. The loan Interest will be compounded monthly. They would like to have 6 years to pay off the loan. Calculate what their monthly payments will be and generate a schedule to present to them and ultimately the bank. |
Solve for The Monthly payment amount.
First of all, select the Fixed Rate form from the list under NEW if you have not already done so.
Most Mortgages and Loans with no irregularities can be computed using this form.
When the form appears, ignore the buttons in the Ribbon at the top of the form. Their functions will all be explained as
we work through this example.
For now, lets look at the 15 fields in the middle of the form that you can either choose an entry to enter data in them.
Type
Leave Leave Leave Leave
Tip
Tip
Scroll
Type
Tip
Type
Skip
Type
Press
Leave
Click
Tip
Tip
Scroll
Right Click
Click
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Mr. and Mrs. Smith's Business Loan in the Title field. This title will appear at the top of the screen when the amortization table is generated.
If you do not understand some of the settings, at the end of the example, you can always go to the specific areas in this Help Guide. But for now by the end of this example, you will have a good understanding of most of the features of WinAmort Professional. For Loan TYPE: the default setting REGULAR. For Compounded: the default setting MONTHLY. For Basis Year: the default setting 365 Days. For Exact day: the default setting No.
5-1-2011 for the Origination Date. This is the date on which the deal closes and the loan is taken out.
400,000 in the Principal field.
5.25 in the Interest Rate field. The interest rate that you enter should always be the annual interest rate. In this case the Effective Rate is calculated to be: 5.3782%
The Payment field since this is what we need to compute.
6 in the Period field. (Based on our example they would like to finance for 6 years)
Move the highlight to the field beside the Period field and
the Down Arrow button to select the Period frequency. Your current options will be ‘YEARS’ or ‘MONTHS’. Select “Years” for this example. If you typed in 300 as the period, you could select ‘Months’ since 72 months is equivalent to 6 years.
The Balloon Payment amount at zero since we don’t need to use this field for this this example.
Here is how your form should look at this point:
As soon as you click the compute button and the Monthly Payment amount was computed, WinAmort also generated a table below the data entry fields. As illustrated below.
Table features You will notice that the table has 7 columns representing various fields. From the number of the line to the balance. These 7 columns are the default ones shown. You can add or remove some of these columns by selecting:
When you click the column button you will be able to Toggle four variable columns.
These include: Numbers column (which is already shown), Days column (which is not shown), Interest Rate Column (which is already shown), Loan Amount column (which is not shown).
If you Toggle On the two missing columns Days and Loan amount, the table will look like the one illustrated below.
There are 9 maximum columns on this table.
Other TOP RIBBON buttons.
The first Make button, generates a new table anytime there is enough data available and you click on it. The other three vertical buttons next to Make are explained below.
When you click on the Balance button a small window will pop-up.
you can view it, save it, print it out or export the the entire schedules or any part of it in various formats.
Lets output our Simple Example Table.
Create Report button. The following window will appear.
All of the 12 rows of options are explained below.
Once you select all of the options you would like to include or exclude from the Report, you can choose the style of your report.
The first page of the Winter theme report is as follows:
This concludes the simple example. Try a few example calculations, once you understand how WinAmort Pro is designed to work, move to the Form Types and work through a few of the examples in the Fixed Rate and Irregular Payment and Investment forms and you will have mastered using WinAmort Professional.
This ends the Simple Example Question. All of the forms can be used in a similar way. The tips and scrolling capabilities also are the same. Also, try the other examples under the appropriate headings.
The report viewer enables you to see a soft copy of the entire schedule without printing it out. This saves paper, costs and protects the environment. The report viewer has many options and can even export or email the generated schedule in different formats, including Excel and Word.
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