 I'm going to make skinny C or make C skinny, whichever way you want to say it. I'm making a skinny C and then I'll put my headers. I'm going to say periods or you might just say months. Let's say, let's say periods, periods and then payments, interest. I'm going to put a top loan reduction. Notice that I decided to put my header on two lines instead of doing something like this loan reduction, which you could do and you could home tab alignment, wrap the text, but then it kind of messes everything up to the side. So I don't like doing that unless I'm making a table out of it. And I'll just break it out into however many lines I think it needs. And then I'll make it look like a like a like a like a header with formatting. So I'm going to say this is going to be loan balance. You also might call it principal reduction and this being the principal, but then you might misspell principal all the time because there's two principals apparently and people are quite adamant about pointing that out. So I'm going to say that we have the bucket here. Let's make this black and white. And then I'm going to go to alignment and center these items. And then let's say that these are going to be our our payment dates. I'm going to format this whole thing as a month by month type of thing. So I can select this and I could go to the number formatting. And let's say we want to make it like a short date, short date. So I'm going to say this is on two 15. Let's say it's still pretty long for the date. Sometimes I like to get rid of the year, but we'll keep it on that. This is going to be on three 15 for 15. And it should copy down and see the next, you know, pattern here, five 15. So there's our three months. We're going to start off at five thousand. So I'm just going to say five thousand. The payment is going to be equal to this one seven six four eighty two. I'm going to copy that down. I don't want it to move when I go down. Therefore, I'm making it absolute selecting F4 and the keyboard, putting a dollar sign before the B and the four. You only need a mixed reference, but an absolute one will work. Meaning if I copy this down, putting my cursor on the fill handle to copy down, you get the same number it pulling from the same source data. The interest in month in the in the first month after the first payment is going to be equal to the five thousand times the rate of 35 percent. But that's the yearly rate, so I need to divide that by 12. Now, anything that's outside of my my field here where I'm working, that's in the data set, I need to make absolute because when I copy it down, I don't want it to move down. So this one in column B, I'm going to put my cursor in there, select F4 and the keyboard dollar sign before the B and the three. You only need a mixed reference, but that works. If I copy that one down, it doesn't look right yet. But I can see that it's picking up the sales that I want. That number is not moving down is the point. Here's the difference then. This is the payment that I'm making minus the interest portion. This is the loan reduction. So the balance is going to be five thousand minus that loan reduction. So now we're at three thousand three eighty one oh one for our new loan balance. The interest is changing dramatically because because the loan balance has changed. It's being properly calculated. So then if I copy these two down, I can copy this one down. So now this is the difference and this is our balance after two payments. And if I copy it down one more time, it should be to zero. And that's the point. So we're going to imagine here that we're our cutoff date is two twenty eight. And so you can say, OK, well, the next payment that we make is going to be on three fifteen. The problem is that I have fifteen days before the cutoff and fifteen days after the cutoff. Now, this is not a very step means that part of this interest should be applied to the cut before the cutoff. And it's part of it. Half of it about should be after the cutoff. Now note that this isn't like a significantly high number. That's why I tried to make the interest a little bit larger here. But you can imagine loan structures could be structured, whether or not basically monthly payments or they could be larger monthly payments and whatnot. And so you can imagine a situation where this gets significant, just like with rent and an office building, if they structured the terms so that you pay at a different time than the accrual concept is trying to say, hey, look, you need to be recorded in the expense when you incurred it, not when you paid it. That's the general idea. So in this case, what's it going to be? It's going to be equal to this one forty five eighty three divided by two. That's about the amount of interest that was incurred in February, which won't actually be recorded until we make the next payment in March. So in other words, I need to pull this seventy two ninety two into February. The dollar amount is low. Therefore, it might be in material in practice in this case. But the concept would remain the same. And you can imagine the amount being material significant to decision making and so on and therefore relevant. So that's the idea. So now let's make the transaction.