4.9.3.2 Rate Calculation
In Rate calculation, system calculates the Transaction Amount using below
formula:
Table 4-31 Rate Calculation
| Frequency | Billing Cycle | Transaction Amount Calculation |
|---|---|---|
| Annual | Monthly | (Rate/12)*(Billing Points at collateral / Base Points) |
| Monthly | Annual | (Rate*12)*(Billing Points at collateral / Base Points) |
| Annual | Quarterly | (Rate/4)*(Billing Points at collateral / Base Points) |
| Quarterly | Annual | (Rate*4)*(Billing Points at collateral / Base Points) |
| Annual | Semi Annual | (Rate/2)*(Billing Points at collateral / Base Points) |
| Semi Annual | Annual | (Rate*2)*(Billing Points at collateral / Base Points) |
| Annual | Annual | (Rate/1)*(Billing Points at collateral / Base Points) |
Consider the above calculation as reference for other combinations of Rate Frequency and Billing cycle.
Parent topic: Asset billing Calculations