MoneyCalc
=========

by Tan Kok Mun (kokmun@pacific.net.sg)
Copyright 1996

The latest version of this software can be found at :
     http://home.pacific.net.sg/~kokmun/basic.htm

THIS IS A FREEWARE FOR PERSONAL USAGE. If you like this software, post me
an e-mail or a post card. If you want to send money, please send it to your
local charity.

For corporate user, please E-Mail me for licensing information.

0. HISTORY
   21/05/1997 - Updated to make it cbaspad 0.77 compatible.
                - Amortization Schedule 1.01
                - Car Leasing 1.01
                - Interest Calculator 1.03
                - Lease/Rent 1.01
                - Loan/Mortgage 1.21
                - Saving/Insurance 1.01
                - Sinking Fund 1.01

   12/01/1997 - Added Car Leasing, Lease/Rent, Loan/Mortgage, Saving/Insurance and
                Sinking Fund calculator.
                Updated interest calculator.

   04/01/1997 - Updated CSV file to correct MAC import problem.

   24/12/1996 - New Installation Method.
                Interest Calculator 1.01 - Added field initialisation.
                Loan Calculator 1.1 - Added calculation for Total Interest Paid.

   11/12/1996 - Freeware.

   09/12/1996 - First release of MoneyCalc.
                Amortization Schedule 1.0
                Loan Calculator 1.0
                Interest Calculator 1.0


1. LEGAL INFORMATION/DISCLAIMER

   PLEASE READ THIS INFORMATION CAREFULLY BEFORE USING THE MONEYCALC
   SOFTWARE FOR ANY CALCULATIONS. BY USING THE SOFTWARE, YOU ARE ARE 
   AGREEING TO BE BOUND BY THE TERMS PRESENTED HEREIN.

   MoneyCalc is not a certified financial program of any sort. I am
   not a financier, and so there is no guarantee that the data 
   MoneyCalc generates is unconditionally correct. The formula that
   I used maybe different from the loan company, hence the MoneyCalc
   calculations will be different from theirs. The formula that I used 
   for these programs are listed under Terminology. There is also the 
   truncation/rounding errors of real numbers, hence the value generated 
   may be slightly different when you compare it against other 
   Loan/Financial Programs in the market.

   Please understand that you use MoneyCalc at your own risk. I cannot 
   be held liable for any erroneous data that MoneyCalc may generate.

   BY USING MONEYCALC, YOU ARE AGREEING TO BE BOUND BY THE TERMS
   PRESENTED BELOW:

   You expressly acknowledge and agree that use of the MoneyCalc
   software (hereafter referred to as 'the Software') is at your sole 
   risk. The Software and the related documentation are provided AS IS  
   and without warranty of any kind, express or implied, including, but 
   not limited to, the implied warranties of merchantability and fitness 
   for a particular purpose.

   Under no circumstances, including negligence, shall Tan Kok Mun be 
   liable for any incidental, special or consequential damages that result  
   from the use or inability to use the Software or related  documentation, 
   even if advised of the possibility of such damages.


2. INTRODUCTION

   MoneyCalc is a easy to use loan management program intended for 
   standard compound interest loans. Common examples of such loans are 
   car loans and mortgages. It will be expanded to include interest 
   calculation in the future.
     
   Programs in this package :
   - Amortization Schedule
   - Interest Calculator
   - Lease/Rent
   - Loan/Mortgage
   - Saving/Insurance
   - Sinking Fund
   - Car Leasing

   The Loan Calculator is a flexible "what if" analysis tools. Given any
   two of the optional three components plus two required basic components 
   of the basic interest equation (Principal(Loan), Terms (Number of 
   Payments), Payment, Interest Rate, and Compounding Period, Loan Calculator 
   will solve the remaining one, allowing the user to run an unlimited number 
   of "what if" scenarios.

   The Amortization Schedule allows you to generate payment schedules, 
   one at a time. It will show you a comprehensive amount of information 
   for each of the terms.

   The Interest Calculator is a flexible "what if" interest tools. You
   can use it to calculate how much loan you need to invest, at what
   interest rate and how long. It can be use for depreciation calculation
   as well.

   
3. SYSTEM REQUIREMENTS

   All the files here requires the excellent Chipmunk Tiny Basic for Pilot
   written by :

      Ronald H. Nicholson, Jr.

   If you don't have it and will like to try out this shareware program
   please get the Chipmunk Tiny Basic from :

      http://www.nicholson.com/rhn/pilot.html

   Version 0.55 of cBasPad higher is required.


4. TERMINOLOGY FOR LOAN CALCULATOR AND AMORTIZATION SCHEDULE
   
   The basic elements of a loan are the four basic components of the 
   compound interest equation:

   - The Principal or loan, in currency units (no distinction between 
     $US, $CDN or Yen).

   - The Terms or the number of payment periods over which the loan is 
     amortized, in months.

   - The Payment, in currency units.

   - The quoted interest rate, in percentage.

   Other elements of a loan.

   - Compounding Periods. This is the number of interest compounding
     periods per year. For US loans and mortgages it is 12, for Canadian
     mortgages it is 2, and for most car loans it is 1. For "Singapore 
     Monthly reducing rate" it is 12.

     The default value is 12.

   - Payment Interval. This version does not support different payment
     interval. It is assume as 1 month.


   This package is based on the following financial formula :

                     Principal * r 
        Payment = ---------------------
                  1 - (1 / ((1 + r)^t))

        t = terms of the loan in months
        r = Annual Interest rate.

   As far as I know, after gathering information from the Internet and self 
   reading, this formula is widely use and is the basis for some of the 
   major Financial Software.


4. TERMINOLOGY FOR INTEREST CALCULATOR

   The Interest Calculator is based on the following formula :

                 r  nt
      A = P(1 + ---)
                 n

   where A is the money accumulated (ending)
         P is the principal(beginning) amount
         r is the annual interest rate
         n is the compounding periods per year
         t is the number of years

      
6. INSTALLATION & RUN

   Refer to INSTALL.TXT for installation information.

   To run the BASIC program, after you have selected cbasPad you will see a
   summary of all the BASIC program that you can run. Select one of them and
   press "EXEC" to run it.


7. LOAN CALCULATOR

   When you run the program, you will see the following screen :

       Principal $ _______________
              Term _______________
         Payment $ _______________
       Int. Rate % _______________
       Cmpd Period _______________
                   _______________
       Eff. Int. % _______________
      Total Paid $ _______________
                   _______________
      <OK> <CANCEL> <A> <B>                    

  Principal $  - Is the principal amount/loan amount
  Term         - Is the number of payment over which the loan is amortized,
                 in months.
  Payment $    - Is the monthly payment to service the loan.
  Int. Rate %  - Is the annual Interest Rate.
  Cmpd Period  - Compounding Periods. This is the number of interest
                 compounding periods per year.
  Eff. Int %   - Effective Interest Rate.
  Total Paid $ - The total amount paid to service the loan.

  <OK>     - Compute the loan.
  <CANCEL> - Quit the program.

  You only enter two of the first three fields(Principal$, Term, Payment$),
  and the remainder field will be computed.

  Field 4(Int. Rate%) and 5(Cmpd Period) must be entered. Field 6(Eff. Int%)
  and 7(Total Paid$) will be computed. Any value entered here will be
  ignored.

  When you hear a beep, it means there is an error. For example, either the
  Interest Rate or the Compound Period is not entered, or there is no
  blank field for one of the first three fields.

  Eg.
    To find out how much you can loan (principal), if you can only afford
    to pay $500 a month for 24 months at a current interest rate of 6.7%
    and compounded monthly, you enter the following and press <OK> :

       Principal $ _______________
              Term 24_____________
         Payment $ 500____________
       Int. Rate % 6.7____________
       Cmpd Period 12_____________
                   _______________
       Eff. Int. % _______________
      Total Paid $ _______________
                   _______________
      <OK> <CANCEL> <A> <B>                    

    You will get a result similar to :

       Principal $ 11201.5________
              Term 24_____________
         Payment $ 500____________
       Int. Rate % 6.7____________
       Cmpd Period 12_____________
                   _______________
       Eff. Int. % 6.6999989______
      Total Paid $ 12000.0________
                   _______________
      <OK> <CANCEL> <A> <B>                    

   The loan that you can take is $11,201.50. The total amount paid to service
   this loan is $12,000.


8. AMORTIZATION SCHEDULER

   When you run the program, you will see the following screen :

       Principal $ _______________
              Term _______________
       Int. Rate % _______________
       Cmpd Period 12_____________
                   _______________
                   _______________
                   _______________
                   _______________
      <OK> <CANCEL> <A> <B>                    

  Principal $  - Is the principal amount/loan amount
  Term         - Is the number of payment over which the loan is amortized,
                 in months.
  Int. Rate %  - Is the annual Interest Rate.
  Cmpd Period  - Compounding Periods. This is the number of interest
                 compounding periods per year.

  <OK>     - Compute the loan.
  <CANCEL> - Quit the program.

  All fields must be entered.

  For example to get the amortization schedule, for a loan of $280000 for
  30 years (12x30=360 term) at a interest rate of 6.7% compounded monthly,
  you enter the following and press <OK> :

       Principal $ 280000_________
              Term 360____________
       Int. Rate % 6.7____________
       Cmpd Period 12_____________
                   _______________
                   _______________
                   _______________
                   _______________
      <OK> <CANCEL> <A> <B>                    

  The next screen will show you the amortization schedule. The first
  schedule is basically the summary of your loan, that is at the end
  of the loan payment.

    $280000. 6.7% ~12  <<-- Principal, interest rate and compounding period
   360 terms 360       <<-- Total loan terms, and current term schedule.
     Payment 1806.778  <<-- Current term payment.
     to Int. 10.031733 <<-- Current term payment that goes to paying interest
      to Pr. 1796.746  <<-- Current term payment that goes to paying principal
   Int. Paid 370440    <<-- Total interest paid till the current term
    Pr. Paid 280000    <<-- Total principal paid till the current term
  Total Paid 650440    <<-- Total paid till the current term
     Balance -0.01787  <<-- Principal balance till current term.

  <OK> <CANCEL> <A> <B>

  In this screen, you have the option to analyse specific term payment, the
  value on the right of term can be modified. For example if you are
  interested to know at the end of the 10 years loan schedule, you can either
  enter 120 or 12*10 at the right of the terms and press <OK> to get the
  schedule.

      $280000. 6.7% ~12
     360 terms 12*10
       Payment 1806.778
       to Int. 1334.551
        to Pr. 472.22706
     Int. Paid 175365
      Pr. Paid 41448.1  
    Total Paid 216813. 
       Balance 238551.

    <OK> <CANCEL> <A> <B>

  <OK>     - Compute the schedule for term specified at term field.
  <CANCEL> - Quit the program.
  <A>      - Compute new amortize schedule.
  <B>      - Compute next term schedule. The term at the term field will
             be incremented by one and recompute.


9. INTEREST CALCULATOR

   When you run the program, you will see the following screen :

           Start $ _______________
             End $ _______________
       Int. Rate % _______________
       Cmpd Period 1______________
             Years _______________
                   _______________
                   _______________
                   _______________
      <OK> <CANCEL> <A> <B>                    

   Start $     - Is the principal amount at the beginning.
   End $       - Is the accumulated amount at the end of the term.
   Int. Rate % - Is the annual Interest Rate.
   Cmpd Period - Compounding Periods. This is the number of interest
                 compounding periods per year.
   Years       - Is the duration of the investment in years.

   <OK>     - Compute the loan.
   <CANCEL> - Quit the program.

   You can only leave one field blank which will be computed for you and
   the blank field cannot be the Compound Period. If there is any error a
   warning sound will be heard.

   Example 1.
   An initial investment of $1,000 is invested at a 12.5% annual interest
   rate, compounded annually, for 10 years. What is the amount accumulated
   after 10 years ? 

           Start $ 1000___________
             End $ _______________
       Int. Rate % 12.5___________
       Cmpd Period 1______________
             Years 10_____________
                   _______________
                   _______________
                   _______________
      <OK> <CANCEL> <A> <B>                    

   The answer will be show in the End$ field which is $3247.321.


   Example 2.
   An initial investment of $2,000 yields $10,000 after 15 years. The
   interest is compounded quarterly. What is the interest rate ?

           Start $ 2000___________
             End $ 10000__________
       Int. Rate % _______________
       Cmpd Period 4______________
             Years 15_____________
                   _______________
                   _______________
                   _______________
      <OK> <CANCEL> <A> <B>                    

   The answer will be shown in Int. Rate% field, which is 10.874786%.

   Example 3.
   With a investment of $1,000. How long must I invest it to get an
   accumulated amount of $10,000 at the current interest rate of 5.1%
   compounded annually ?

           Start $ 1000___________
             End $ 10000__________
       Int. Rate % 5.1____________
       Cmpd Period 1______________
             Years _______________
                   _______________
                   _______________
                   _______________
      <OK> <CANCEL> <A> <B>                    

   The answer will be shown in Years field, which is 46.290476 years.

   Example 4.
   In calculations involving depreciation, the depreciation rate is taken
   to be a negative interest rate.

   The principal cost of a car is $20,000.  It depreciates at a rate of
   6% per year.  After 5 years, what is it's book value ?

           Start $ 20000__________
             End $ _______________
       Int. Rate % -6_____________
       Cmpd Period 1______________
             Years 5______________
                   _______________
                   _______________
                   _______________
      <OK> <CANCEL> <A> <B>                    

   The answer will be shown in End$ field, which is $14678.


10.FREEWARE AGREEMENT

   MoneyCalc is a freeware. However this does not mean that you own the software
   code, you are only licence to use it. All ownership and Copyright of the 
   software and code belongs to Tan Kok Mun. Please read LICENSING AGREEMENT
   below.

   
11.LICENSING AGREEMENT

   The software accompanying this document (the Software) and the related  
   documentation are licensed to you by Tan Kok Mun (the author).
   
   Although the Software is freeware, it is not Public Domain. The software 
   contains copyrighted material and other proprietary material. 

  
12.DISTRIBUTION

   This manual and all accompanying files may be distributed freely,
   provided that:
   - Neither text nor any other file is modified in any way. No file
     may be omitted nor added in the distribution.

   - No money may be charged for the program nor for any accompanying
     files, other than the usual downloading time fees charged by
     commercial BBSes and online services.

   - I want to know where my program will be distributed. Please notify me
     if it will be included in printed matter, floppy, or CD-ROM before its
     publication. No matter what the circumstance, I would strongly
     appreciate a copy of whatever collection in which it is included.

   - If you distribute any program that is based on this program, you must
     not charge anything for them. In addition, you must attribute their
     origin: please describe them as having been made by this program.
     (e.g.: "This program is based on the Loan Calc written by TanKM").
     When they are published in a commercial magazine or book,
     they must be described as having been made by this program, and the
     author requires the contribution fee determined by the magazine or
     book company. In these cases, please contact the author to get
     permission before publication.


13.CONTACTING THE AUTHOR

   If you should wish to reach me for any reason, including, but not
   restricted to:

   a) Bug reports.
   b) New features request.
   c) Modifications to existing features
   d) Any comments, good or bad.   8-)
   e) Greeting Cards.

   I can be reached at:

   E-Mail     : kokmun@pacific.net.sg
   Web Page   : http://home.pacific.net.sg/~kokmun/

   Snail-Mail : Tan Kok Mun
                64, Jalan Kuak
                Singapore 577833

