Example: Number of Periods for an Investment

Someone obtains a $20,000 loan at 7.25% to buy a car. They want to make $350 a month payments. Here, the number of payments necessary to pay off the loan is computed. 

import com.imsl.finance.*;

public class nperEx1 {

    public static void main(String args[]) {
        double rate = 0.0725 / 12;
        double pmt = -350.;
        double pv = 20000;
        double fv = 0.;
        int when = Finance.AT_BEGINNING_OF_PERIOD;
        double nperiods;

        nperiods = Finance.nper(rate, pmt, pv, fv, when);

        System.out.println("Number of payment periods = " + nperiods);
    }
}

Output

Number of payment periods = 69.78051136628257
Link to Java source.