NPV analysis for Capitalised interest and repayment of capitalised interest

[former_member251898]

Hi SAPer,

I have an issue with regard to the NPV calculation with (variable) capitalized interest flow (Flow type 1150) and its repayment flow (1160) We have a TRM transactions (Swap) with the frequency of Interest adjustment for capitalized interest is done on a quarterly basis but only paid semi-annually.

NPV analysis (TPM60) only takes into the floating cashflow for capitalised interest based on flow 1150 on a quarterly basis, even though the real cashflow is repayment (flow type 1160) of semi-annal basis. The client wishes to include 1160 flow instead.

Questions are:

- Is this above behaviour that inlcude capitalized interest flow (1150) a standard behaviour or something that we could configure differently so that its repayment flow is included as Floating Cashflow instesad of capitalised interest flow within NPV analysis?

- If standard and not possible to change by configuration, would any of you know the BADI or exit that can be used to modify this?

Thanks for your help in advance. Cheers taro

[Gustavo_Vazquez · Accepted solution]

I don't knbow if there is a BADI

try

https://archive.sap.com/discussions/thread/3411218

sapnote 1632587, 1254181, 1150807, 1832792,

Kind Regards

[former_member251898]

Hi Gustavo,

Thank you very much for your answer,

As you said, IMG: Financial Supply Chain Management -> Treasury and Risk Management -> Basic Analyzer Settings -> Valuation -> Cash Flow Indicator -> Transactions with Flow Types -> Define Assignment Manually we tried 2 different solutions.

1. Change the CF indicator flow type 1150 Capitalised interest flow to 9 from 1.

> negative cash flows are not being considered in the MTM calculation at all.

2. CF indicator 1 for both 1150 and 1160 but assign X in fictitious CF in 1160 instead of 1150.

> when we set 1160 as non-fictitious and 1150 as fictitious and it uses 1160 in the calculation the yield curve is not considered because the system thinks that 1160 is a fixed cash flow, not variable.

So my ask is is there any specific way to include its repayment flow s Floating Cashflow instead of capitalised interest flow within NPV analysis?

Regards

Taro

[Gustavo_Vazquez]

I don't know if there is a way to include floating cashflow in NPV analysis. In theory for NPV calculation flows should be fixed, if not you are going to scenarios (variable). Try a 55A transaction with variable interest and check if ti calculates NPV when interest has not been fixed.

I have the same configuration in flows.

Kind Regards

[former_member251898]

Hi Gustavo,

Thanks for your help/expertise on that.

Would it be possible also to let me know if there is a BADI or User exit for TPM60 (NPV calculation) to ensure that the relevant cash flows are being included differently from what Standard does for NPVa calulation?

Kind regards

taro

[Gustavo_Vazquez]

Hi Taro,

Check this

IMG: Financial Supply Chain Management -> Treasury and Risk Management -> Basic Analyzer Settings -> Valuation -> Cash Flow Indicator -> Transactions with Flow Types -> Define Assignment Manually

Kind Regards