Summary of "Elaboración de Tablas de Amortización"

Video Summary

The video titled "Elaboración de Tablas de Amortización" discusses two methodologies for constructing Amortization Tables, focusing on a loan scenario with a principal of 100 pesos, a 10% annual Interest Rate, and a repayment period of three years.

Constant Amortization with Irregular Payments:
- Amortization is defined as the portion of the principal that is paid down.
- Interest is calculated on the outstanding balance from the previous period.
- The outstanding balance decreases by the amortization amount each period.
- Payments vary, starting higher and decreasing over time.
Irregular Amortization with Constant Annuity:
- An Annuity is defined as equal payments made at regular intervals.
- The Excel Annuity formula is utilized to determine the fixed payment amount.
- The interest is calculated similarly, based on the previous outstanding balance.
- Amortization is derived from the difference between the Annuity payment and the interest.

For Constant Amortization:
- Identify the total principal and Interest Rate.
- Calculate the interest based on the previous outstanding balance.
- Determine the amortization amount for each period.
- Update the outstanding balance after each payment.
- Graph the amortization and interest to visualize changes over time.
For Irregular Amortization with Constant Annuity:
- Use the Annuity formula in Excel to calculate the fixed payment.
- Calculate interest on the outstanding balance.
- Determine the amortization by subtracting interest from the Annuity payment.
- Update the outstanding balance accordingly.
- Create graphs to compare the amortization and interest trends.