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LINC Programming Reference Manual - Public Support Login - Unisys

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Appendix A<br />

Formulas for the DISCOUNT.CASH;<br />

Command<br />

Overview<br />

This appendix contains formulas for the calculations used by the DISCOUNT.CASH;<br />

command.<br />

Conventions used in the various formulas are listed in the following table.<br />

Symbol Meaning<br />

. Multiplication operator<br />

ln Natural logarithm<br />

i Interest rate (0.0 through 1.0)<br />

n Number of time units in the calculation<br />

P Present value of the financial amount<br />

SN Financial amount after time period n (the sum after n periods)<br />

A Annuity payment occurring at the end of each time period<br />

A* Annual rate of flow (the rate of steady flow throughout the term, as opposed to<br />

discrete annuity payments)<br />

A and A* are related by the following formula.<br />

<br />

v A-1

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