This video provides a step-by-step walkthrough of solving a time value of money problem related to amortized loans, focusing on the breakdown of loan payments into principal and interest components. Using a financial calculator, you’ll learn how to: (a) Identify key variables like loan amount, term, interest rate, and payment frequency. (b) Set up your calculator for accurate amortization calculations. (c) Analyze payments for a specific period to determine the fraction allocated to principal repayment versus interest. By the end, you'll understand how to approach similar questions efficiently and apply these concepts in exams or real-life financial scenarios.