Exponential Interest

Scope of Functions

Interest amounts can now be calculated exponentially. The following formula is used:

Amount = Calculation base * (q**(days/day basis) - 1)

You can use the exponential interest calculation in the various Treasury areas for the following product categories:

• Money Market

• Fixed-term deposit

• Deposit at notice

• Securities

• Bond

• Warrant bond

• Convertible bond

• Derivatives

• Cap/floor

• Swap

• Loans

• Mortgage loan

• Policy loan

• Borrower's note loan

• General loan

Note:

The accrual/deferral calculations for interest and discounts have been adjusted accordingly where they are proportionate to interest.

Effects on Existing Data

Existing data is not affected.

Effects on Data Transfer

Existing data does not need to be converted.