What is this ?

It helps you to calculate EMI in easy method, by just calling a function by giving your inputs.

How to do it ?

import calculateEMI from "ranjit.codes_emi_calculator";

calculateEMI(660000, 15.25, 3)

Reducing Balance Method (Real Method Used by Banks)

Here, interest is charged only on the remaining balance each month (as your EMI pays down the loan).

Let’s calculate approximately using this formula:

$$ EMI = \frac{P \times r \times (1 + r)^n}{(1 + r)^n - 1} $$

Where:

• P = ₹5,00,000
• r = 15% / 12 = 0.0125 (monthly interest)
• n = 36 months

Plugging values:

$$ EMI \approx ₹17,300 $$

So:

• Monthly EMI: ₹17,300 (approx)
• Total payment: ₹17,300 × 36 = ₹6,22,800
• Total Interest: ₹6,22,800 − ₹5,00,000 = ₹1,22,800

✅ That’s the realistic amount you’d pay.

🧾 Summary

| Detail | Value | |--------|--------| | Loan Amount | ₹5,00,000 | | Rate of Interest | 15% p.a. | | Tenure | 3 years | | EMI (approx) | ₹17,300 | | Total Interest | ₹1,22,800 | | Total Repayment | ₹6,22,800 |