How is EMI calculated?

How is EMI calculated? The Equated Monthly Installment (EMI) of a loan is calculated according to the following formula. EMI = (P x i) (1+i)^n / ((1+i)^n) - 1 Where, P is the loan amount i is the monthly interest rate (i.e. the yearly interest rate divided by 12) n is the loan tenure in …

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