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EMI = P × r × (1+r)ⁿ ÷ ((1+r)ⁿ − 1)
where P = principal, r = monthly interest rate (annual rate ÷ 12 ÷ 100), n = number of monthly payments (years × 12).
Total repaid = EMI × n
Total interest = Total repaid − P
Worked example: 15,000 car loan at 7.9% APR for 4 years (48 months). r = 7.9/100/12 = 0.006583. EMI = 15,000 × 0.006583 × (1.006583)⁴⁸ ÷ ((1.006583)⁴⁸ − 1) ≈ 365/month. Total repaid = 365 × 48 = 17,520. Total interest = 2,520 (17% of principal).