TRM - Interest capitalization
Hello people.
I´m having problems to workaround a situation that we´ve encountered in one of our clients.
When I have a borrowing contract and use condition 1150 "Interest capitalization" we have the following cash flow.
29.05.2010 1105 Borrowing / Increase 1.000,00 +
29.08.2010 1150 Interest capitalization 30,67 +
29.11.2010 1150 Interest capitalization 31,61 +
28.02.2011 1150 Interest capitalization 32,58 +
29.05.2011 1120 Full repayment upon maturity 1.127,34- -
29.05.2011 1150 Interest capitalization 32,48 +
We can see that we have the interest capitalization calculated in a 3 month period based and we have the full repayment in the end of the contract with the amount 1.127,34 what is correct.
But, we need to have the repayment in the same frequency of interest capitalization calculation, example:
29.05.2010 1105 Borrowing / Increase 1.000,00 +
29.08.2010 1150 Interest capitalization 30,67 +
29.08.2010 xxxx Repayment of Interest capitalization 30,67 -
29.11.2010 1150 Interest capitalization 31,61 +
29.11.2010 1150 Repayment Interest capitalization 31,61 -
and so on...
I´ve tried to create Derived Flows but without success. Does anybody know how can I have this in my borrowing contracts?
Any help is appreciated.
Best regards.
Volnei Luiz.
Hi,
I am having some doubts in your case.
When you are going to repay the capitalized interest on the same day, what is the use of capitalizing it. When you capitalize the interest, the interest amount is added to the nominal amount and for the next period of 3 months, the interest is calculated on the total nominal amount.
Suppose in your case you are going to repay the capitilized interest 30.67, then how did you get the interest for the next period as 31.61? By calculation it will still remain as 30.67 because the nominal amount has not changed and remains at 1000 itself.
Repaying the capitalized interest on the same day is equivalent to treating it as normal interest. So in your case if you want payment of interest to happen every 3 months, then uncheck the capitalize interest check box in the structure screen.
Regards,
Ravi
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Hello colleagues.
We are experiencing a situation in one of our client when we have a Decrease of the amount of a Fixed-Term Deposit contract.
Details bellow:
Percentage Rate: 2%
Contract starts on 08.01.2010
Contract ends on 08.07.2010
If I set the field "Frequency" MONTHLY in Interest structure of TAB Structure. I have the following cash of flow for the contract:
Pmnt Date FTyp Flow Type (Name) PmntAmt Direction
08.01.2010 1100 Investment / Increase 1.000,00- - Investment of U$$ 1.000,00
20.01.2010 1110 Decrease 200,00 + Decrease of amount
08.02.2010 1200 Nominal interest 0,63 +
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08.03.2010 1200 Nominal interest 1,14 +
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08.05.2010 1200 Nominal interest 1,27 +
08.06.2010 1200 Nominal interest 1,33 +
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08.07.2010 1200 Nominal interest 1,40 +
Another situation for the same case is bellow:
If I set the field "Frequency" MANUAL INPUT and the field "All" with 1 DAYS in Interest structure of TAB Structure. I have the following cash of flow for the contract:
Pmnt Date FTyp Flow Type (Name) PmntAmt Direction
08.01.2010 1100 Investment / Increase 1.000,00- -
11.01.2010 1200 Nominal interest 0,08 +
12.01.2010 1200 Nominal interest 0,08 +
13.01.2010 1200 Nominal interest 0,08 +
14.01.2010 1200 Nominal interest 0,08 +
15.01.2010 1200 Nominal interest 0,08 +
18.01.2010 1200 Nominal interest 0,08 +
19.01.2010 1200 Nominal interest 0,08 +
20.01.2010 1110 Decrease 200,00 + Decrease of amount
20.01.2010 1200 Nominal interest 0,08 +
In this situation, we have movements of interest daily. The problem here is, when we run accounting for the contract, SAP will create several accounting documents, one document per movement. I don´t believe this is a problem for accounting but this is a problem for Cash Management that will not reflect the total amount of interest on day 20.01.2010 and besides that the Value Date of accounting documents will be the day of each day movement.
21.01.2010 1200 Nominal interest 0,06 +
22.01.2010 1200 Nominal interest 0,06 +
25.01.2010 1200 Nominal interest 0,06 +
26.01.2010 1200 Nominal interest 0,06 +
Finally, my question is, is there any way/any customizing so I can have the interest amount reflected on the same day of the decrease of amount movement?
I tried Derived Flows but it did not work properly.
Any help is really appreciated.
Best Regards,
Volnei.
Edited by: Volnei Luiz Cecon Júnior on Jan 8, 2010 4:46 PMOw! My reply worked fine. Let´s try again.
Hello colleagues.
We are experiencing a situation in one of our client when we have a Decrease of the amount of a Fixed-Term Deposit contract.
Details bellow:
Percentage Rate: 2%
Contract starts on 08.01.2010
Contract ends on 08.07.2010
If I set the field "Frequency" MONTHLY in Interest structure of TAB Structure. I have the following cash of flow for the contract:
Pmnt Date FTyp Flow Type (Name) PmntAmt Direction
08.01.2010 1100 Investment / Increase 1.000,00- - Investment of U$$ 1.000,00
20.01.2010 1110 Decrease 200,00 + Decrease of amount
08.02.2010 1200 Nominal interest 0,63 +
The interest gained until 20.01.2010 is reflected on 08.02.2010 and not on 20.01.2010. What I mean is the bank credit on 20.01.2010 in the bank account the amount 200,00 plus the interest relevant until 20.01.2010 (0,63). If I leave this value on date 08.02.2010 it reflects in a wrong way the interest value in our financial statements and in Cash Management
08.02.2010 1200 Nominal interest 0,83 +
08.03.2010 1200 Nominal interest 1,14 +
08.04.2010 1200 Nominal interest 1,40 +
08.05.2010 1200 Nominal interest 1,27 +
08.06.2010 1200 Nominal interest 1,33 +
08.07.2010 1120 Final repayment 800,00 +
08.07.2010 1200 Nominal interest 1,40 +
Another situation for the same case is bellow:
If I set the field "Frequency" MANUAL INPUT and the field "All" with 1 DAYS in Interest structure of TAB Structure. I have the following cash of flow for the contract:
Pmnt Date FTyp Flow Type (Name) PmntAmt Direction
08.01.2010 1100 Investment / Increase 1.000,00- -
11.01.2010 1200 Nominal interest 0,08 +
12.01.2010 1200 Nominal interest 0,08 +
13.01.2010 1200 Nominal interest 0,08 +
14.01.2010 1200 Nominal interest 0,08 +
15.01.2010 1200 Nominal interest 0,08 +
18.01.2010 1200 Nominal interest 0,08 +
19.01.2010 1200 Nominal interest 0,08 +
20.01.2010 1110 Decrease 200,00 + Decrease of amount
20.01.2010 1200 Nominal interest 0,08 +
In this situation, we have movements of interest daily. The problem here is, when we run accounting for the contract, SAP will create several accounting documents, one document per movement. I don´t believe this is a problem for accounting but this is a problem for Cash Management that will not reflect the total amount of interest on day 20.01.2010 and besides that the Value Date of accounting documents will be the day of each day movement.
21.01.2010 1200 Nominal interest 0,06 +
22.01.2010 1200 Nominal interest 0,06 +
25.01.2010 1200 Nominal interest 0,06 +
26.01.2010 1200 Nominal interest 0,06 +
Finally, my question is, is there any way/any customizing so I can have the interest amount reflected on the same day of the decrease of amount movement?
I tried Derived Flows but it did not work properly.
Any help is really appreciated.
Best Regards,
Volnei. -
Hello colleagues.
We are experiencing a situation in one of our client when we have a Decrease of the amount of a Fixed-Term Deposit contract.
Details bellow:
Percentage Rate: 2%
Contract starts on 08.01.2010
Contract ends on 08.07.2010
If I set the field "Frequency" MONTHLY in Interest structure of TAB Structure. I have the following cash of flow for the contract:
Pmnt Date FTyp Flow Type (Name) PmntAmt Direction
08.01.2010 1100 Investment / Increase 1.000,00- - Investment of U$$ 1.000,00
20.01.2010 1110 Decrease 200,00 + Decrease of amount
08.02.2010 1200 Nominal interest 0,63 +
The interest gained until 20.01.2010 is reflected on 08.02.2010 and not on 20.01.2010. What I mean is the bank credit on 20.01.2010 in the bank account the amount 200,00 plus the interest relevant until 20.01.2010 (0,63). If I leave this value on date 08.02.2010 it reflects in a wrong way the interest value in our financial statements and in Cash Management
08.02.2010 1200 Nominal interest 0,83 +
08.03.2010 1200 Nominal interest 1,14 +
08.04.2010 1200 Nominal interest 1,40 +
08.05.2010 1200 Nominal interest 1,27 +
08.06.2010 1200 Nominal interest 1,33 +
08.07.2010 1120 Final repayment 800,00 +
08.07.2010 1200 Nominal interest 1,40 +
Another situation for the same case is bellow:
If I set the field "Frequency" MANUAL INPUT and the field "All" with 1 DAYS in Interest structure of TAB Structure. I have the following cash of flow for the contract:
Pmnt Date FTyp Flow Type (Name) PmntAmt Direction
08.01.2010 1100 Investment / Increase 1.000,00- -
11.01.2010 1200 Nominal interest 0,08 +
12.01.2010 1200 Nominal interest 0,08 +
13.01.2010 1200 Nominal interest 0,08 +
14.01.2010 1200 Nominal interest 0,08 +
15.01.2010 1200 Nominal interest 0,08 +
18.01.2010 1200 Nominal interest 0,08 +
19.01.2010 1200 Nominal interest 0,08 +
20.01.2010 1110 Decrease 200,00 + Decrease of amount
20.01.2010 1200 Nominal interest 0,08 +
In this situation, we have movements of interest daily. The problem here is, when we run accounting for the contract, SAP will create several accounting documents, one document per movement. I don´t believe this is a problem for accounting but this is a problem for Cash Management that will not reflect the total amount of interest on day 20.01.2010 and besides that the Value Date of accounting documents will be the day of each day movement.
21.01.2010 1200 Nominal interest 0,06 +
22.01.2010 1200 Nominal interest 0,06 +
25.01.2010 1200 Nominal interest 0,06 +
26.01.2010 1200 Nominal interest 0,06 +
Finally, my question is, is there any way/any customizing so I can have the interest amount reflected on the same day of the decrease of amount movement?
I tried Derived Flows but it did not work properly.
Any help is really appreciated.
Best Regards,
Volnei.Hi,
On the "Structure" tab; next to Condition Type for nominal interest, there is a button for "Detail View Int. Conditions"; click on that. In the "Update" section; click on Special and select rule "Single Dates". There, put the dates (where your principal is adjusted or the month end dates).
Manish -
TRM - Transaction Tm_51 Instrument of Interest
Guys,
When trying to create a contract (guaranteed account) within the module Monetary Market, where I have several low capital increase and the system gives me the following message.
Recording position management: error during distribution BR01 5000000000004
Message no. FTR_TRD012
Diagnosis
Processing can not be successfully since October Carried an error occurred when updating position management. The cause of this message is explained in another error message.
System Response
Processing is terminated.
10/15/2010 Per the negative balance of 9,198,357.24 - BRL Nominal exists
Message no. TRQ0001
Diagnosis
This is the position that is Characterized by the Following details:
CC = BR01, CV = 0005; DN = 5000000000004; PT = CGA
Explanation of the abbreviations used:
AC Accounting code
PT Product type
Valuation VA area
Special valuation VC class
CV General valuation class
CC Company code
SE Security ID number
Securities SA account
AG Securities account group
PF Portfolio
FD Fund
GR Grant
Transaction number DN
LC Loan Contract
PA Futures account
Procedure
Check the position is key date 15.10.2010 with the Position Position List for Quantity Ledger function.
When trying to run check the position on 15.10.2010, ie the system tpm26 brings me to another value 800,392.05 BRL, the correct value, as internal control worksheet.
Someone has gone through this or know of any solution to the case in question?
Thanks in advance,
RafaelHi Carlos,
Were you able to resolve this issue?
If yes, then kindly let me know how as currently we are facing the same issue.
Thanks
Prashant
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