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In this video tutorial, the speaker demonstrates how to create an amortization table in Excel from scratch. They start with a borrowed amount of $100,000, spread over 30 years with monthly payments. The interest rate is 13% annually, but converted to a monthly rate. Using the PMT function in Excel, the speaker calculates the monthly payment as the output. By inputting the rate, period, present value (with a negative sign), future value, and closing parentheses, Excel provides the monthly payment amount.
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