SAC Procedure Without Interest
The SAC calculation is based on the cash flow of the position to be valued.The system proceeds as follows:
The system determines the key date of the last amortization or the key date of the last quantity-based position change (inflow/outflow). Only one inflow is shifted to a zero position, otherwise amortization would have already occurred.
The system determines the amortized acquisition value and the nominal value for the key date. These values are then used to generate a hypothetical purchase or payment.
Based on the hypothetical purchase and the conditions defined, the system then determines the cash flow (future repayment flows or payments). Interest, and revenues or charges entered manually, are not included in the cash flow. The cash flow contains only the initial purchase and the repayment flows.
Example
Flow |
Date |
Nominal Amount |
Amount in Position Currency |
|---|---|---|---|
1stPurchase |
06/01/00 |
1,000,000 |
700,000 |
2ndPurchase |
06/15/00 |
500,000 |
375,000 |
1stSale |
11/01/00 |
100,000 |
65,000 |
Interest |
12/31/00 |
56,000 |
|
2ndSale |
03/01/01 |
1,400,000 |
1,260,000 |
Conditions
Interest is calculated and paid annually on December 31.
The final repayment is for December 31, 2001 (100% repayment price).
Interest calculation method 360/360 is used.
Amortization on 06/15/00 (Second Purchase)
The nominal amount is 1,000,000. This does not include the second purchase. The calculation is based on the first purchase. This inflow generates the cash flow for amortization (without interest):
Date |
Nominal Amount |
Amount in Position Currency |
|---|---|---|
06/01/00 |
1,000,000 |
700,000 |
12/31/01 |
1,000,000 |
1,000,000 |
The effective interest rate of the cash flow is 25.2658870%. Note: This calculation is based on an approximation method. To prove that the effective interest rate is correct, proceed as follows: After interest factors have been determined for the individual flows, they are then discounted. If the net present value of the cash flow is zero, the effective interest rate used is correct.
The amortization value (amortized acquisition costs) is the total of the net present values of the individual flows with the position date after the key date (05/15/00). In this case, only repayment is relevant. The amortization value is 706,159.
A write-up of 706,159 - 700,000 = 6,159 is generated as the amortization flow.The amortized acquisition costs for 06/15/00 amount to 1,081,159:
Amount |
Activity |
|---|---|
700,000 |
Post purchase value on 06/01/00 |
+ 6,159 |
Positive amortization on 06/15/00 |
+ 365,000 |
Post purchase value on 06/15/00 |
= 1,081,159 |
Amortized acquisition costs on 06/15/00 (including inflow and amortization) |
Amortization on 11/01/00 (First Sale)
The nominal amount is 1,500,000. This does not include the second purchase.Die Berechnung setzt auf den 2. Kauf auf.Die fortgeführten amortisierten Anschaffungskosten zum 01.11.00 (ausschließlich des 2. Verkaufs) betragen 1.081.159 (Summe der Käufe und Amortisierungen vor dem Stichtag 01.11.00).
An artificial position inflow is generated for the key date of the last position change (06/15/05 in this case). This generates the condition-based cash flow relevant for amortization.
Date |
Activity |
Nominal Amount |
Amount in Position Currency |
|---|---|---|---|
06/15/00 |
Inflow |
1,500,000 |
1,081,159 |
12/31/01 |
Outflow |
1,500,000 |
1,000,000 |
The effective interest rate of these flows is 23.6155121%.
The total of the net present values of the flows after 11/01/05 determines an amortization value of 1,171,312. A write-up of 1,171,312 - 1,081,159 = 90,153 is generated as the amortization flow of the derived business transaction. The amortized acquisition costs for 11/01/00 amount to 1,093,225.
Amount |
Activity |
|---|---|
1,081,159 |
Amortized acquisition costs on 06/15/00 |
+ 90,153 |
Amortization on 11/01/00 |
- 71,667 |
Translation: amortization (1/15 of 1,075,000) |
= 1,093,225 |
Amortized acquisition costs on 11/01/00 (including all flows) |
Key Date Valuation for 12/29/00 (Including Sale)
The nominal amount is 1,400,000. The calculation is based on the first sale. The amortized acquisition costs for 12/29/00 amount to 1,093,225. This includes all flows occurring before the key date (inflows, outflows, translations).
An artificial position inflow is generated for the key date of the last position change (11/01/05 in this case). This generates the condition-based cash flow relevant for amortization.
Date |
Activity |
Nominal Amount |
Amount in Position Currency |
|---|---|---|---|
11/01/00 |
Inflow |
1,400,000 |
1,093,225 |
12/31/01 |
Outflow |
1,500,000 |
1,400,000 |
The effective interest rate of these flows is 23.6155121%.
The total of the net present values of the flows after 12/29/00 results in an amortization value of 1,131,211. A write-up of 1,131,211 - 1,093,225 = 37,986 is generated as the amortization flow as part of the key date valuation on 12/29/00.
Key Date Valuation for 01/03/01 (Including Amortization)
The nominal amount is 1,400,000. The calculation is based on the first sale. The amortized acquisition costs for 01/03/01 amount to 1,131,211.
An artificial position inflow is generated for the key date of the last position change (12/29/00 in this case). This generates the condition-based cash flow relevant for amortization.
Date |
Activity |
Nominal Amount |
Amount in Position Currency |
|---|---|---|---|
12/29/00 |
Inflow |
1,400,000 |
1,131,211 |
12/31/01 |
Outflow |
1,400,000 |
1,400,000 |
The effective interest rate of these flows is 23.6155121%.
The total of the net present values of the flows after 01/03/01 results in an amortization value of 1,133,879. A write-up of 1,133,879 - 1,131,211 = 2,668 is generated as the amortization flow as part of the key date valuation on 01/03/01.