Jump to content

# Accrued Cashflow minus the pending loans

## Recommended Posts

Hi

What is the formula used to compute Accured Cashflow (cash balance) minus pending loans?

I want to try and model my proposal on monthly basis.

thanks

##### Share on other sites

Hi Tom,

thank you for your question. The Accrued Cashflow minus the pending loans would be your normal cashflow minus all the loan repayments and interests that you still have to pay in future.

So, for example:

Here I defined a 10 year loan over some 4320 \$ with 2 % interest rate and the first 2 years without repayment. If you sum up all loan repayments and interests until year 10, you'll get -5254.16 \$. To calculate the Accrued Cashflow minus pending loans for the first year, you'll take the normal cashflow (701.79 \$) and subtract the 5254.16 \$, but, as you consider the end of the first year, you'll omit the first interest payment of 85.54 \$.

That is:

- 701.79 \$ Annual Cash Flow
- 5254.16 \$ Total loan payments (repayment and interest)
+ 85.64 \$ First loan interest already paid
--------------------------------------
- 5168.62 \$  Accrued Cahsflow minus pending loans after the first year

Hope that helped, kind regards,

Martin

##### Share on other sites

• developer_mh changed the title to Accrued Cashflow minus the pending loans

And I changed the title of your post. Hope that is ok with you

##### Share on other sites

Thanks for the clarification.  However, when i worked it out on excel, i got a total interest and loan repayment of \$4552.37. I added the accured cashflow of 701.79  and reduced the 1st interest payment  and got the accrued cashflow minus pending loans after the 1st year.  I think we get the same answer but different way to get there.

Is your 1st loan interest number changes from 85.54 to 85.64?  Is this a error?  appreciate confirmation.

Is your loan period for 11 years or 10 years?

thanks

One final question:

##### Share on other sites

err, yes, you're right, sorry. The numbers above don't make sene. The sum of all loan repayments and interests is of course -4552.37 \$, excluding the payment of the first year it is -4466.83 \$. Then you subtract the normal annual cashflow of 701.79 and you have the -5168.62 \$.

sorry for the confusion (the explanation was right though )

And yes, I had a typo in the first loan interest rate, it should have been 85.54 \$. The loan period is 10 years.

Cheers, Martin

##### Share on other sites

Thanks, Martin for the clarification.  I appreciate your prompt reply.  :-)

Yes. your explanation was spot on!

## Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

×
×

• #### Activity

• Leaderboard
×
• Create New...