Regarding accrual/deferral function in treasury, there is Acc./Defer.Method named  “Pro rata temporis with linear discounting”, here is the online help:

The amount is accrued/deferred on linear basis  over the calculation period and then discounted on a linear basis. This method is used for Commercial Paper, for example.

System will calculate with below steps:

1) calculate interest linearly

amount = flow-bzbetr * hlp_days / flow-atage.

flow-bzbetr  nominal interest amt

flow-atage   no. of days of the interest period

hlp_days     no. of days to key date

2)

hlp_float = ( flow-bzbetr – amount ) /

( 1 + ( hlp_days * flow-pkond

/ ( flow-abastage * 100 ) ) ).

flow-bzbetr                nominal Interest amount

amount                       result of step 1)

hlp_days                     no. of days to key date

flow-pkond                   interest rate

flow-abastage             base days

3)   hlp_float = flow-bzbetr – hlp_float.

amount = hlp_float.

 

You can find the coding in Function Module: TB_ACCR_DEFR_ACCU_FOR_FLOW.

To report this post you need to login first.

Be the first to leave a comment

You must be Logged on to comment or reply to a post.

Leave a Reply