Product-specific Q&A

1. What is included in the Effective Interest Rate Model?

2. How can I purchase the model?

3. How do I Install the model?

4. How does it compute Effective Interest?

5. How did you verify that your calculations are correct?

6. What is the initial cost? Are there any additional costs?

7. Can multiple people use the product concurrently?

8. Can I share your templates?

Tool Requirements Q&A

9. What do I need to use the Model?

10. What if I need additional help?

11. How do I install the Model?

Product-specific Q&A

1. What is included in the Effective Interest Rate Model?

The Effective Interest Model includes a rich Excel template with software to prevent user error and complete documentation. The Model also includes extensive documentation.

Both Effective Interest Model product versions support 360/30, Actual Days and 360/Actual Days interest models. Having mutlple interest models available greatly increases the usefulness of the product for wide-ranging applications.

2. How can I purchase the model?

The model is purchased from our website using PayPal and is available for immediate download. We're sorry but once you have downloaded the file, refunds will not be possible.

3. How do I Install the model?

Installation involves running the Windows Installer file. If you have Windows XP or later, the Windows Installer option is native to your OS (you can also install the Microsoft Installer software on Windows 2000 and NT 4.0 platforms).

After installation, a directory is created that contains the template file and documentation. Simply read the documentation PDF and you are ready to use the model.

Our model requires Microsoft® Office 2000 or later and can run on any Windows-based computer certified for use with the Office software. We recommend that you have at least 100MB of available disk space to store goodwill valuations.

You may install the model on a server or multiple PC's/laptops but the model is only licensed for a single company and/or legal entity. Bulk licensing is available for CPA and Consulting firms. Contact sales@procognis.com for details.

4. How does it compute Effective Interest?

The ASC 310-20/FAS91 Tool computes an effective interest yield through interpolation. This means that the software, programmatically tries multiple yields until it determines a yield, that when applied over the course of an instrument results in a zero balance at the end of the term. Amortization is determined by taking the difference between the stated interest amount and the effective interest amount. Cumulative amortization is determined by taking the previous cumulative amortization and adding the current period amortization. The unamortized balance is determined by taking the deferred amount and reducing it by the cumulative amortization.

5. How did you verify that your calculations are correct?

The ASC 310-20/FAS91 Effective Interest Model is our interpretation of the ASC 310-20 (formerly FAS91) codificaiton and has been extensively tested. Our technique utilizes industry best practice and all formulas used to compute the values are visible (but cannot be modified). We have built in a mechanism which marks the results as "balanced", so long as the yield computed results in a zero balance for the loan and all deferred items on the last payment date.

6. What is the initial cost? Are there any additional costs?

There are two products: a Fixed Interest Rate version for $499 and the Variable Interest Rate version for $599 (US Dollars). You purchase by online payment with PayPal. The Variable Rate version can be used for fixed rate instruments also but provides the flexibility to be used for variable rate loans as well.

The license is per Company or legal entity. CPA firms, consulting firms or other entities that have business relationships with third-party companies and that wish to use our products for their customers will need to purchase a license for each such company and/or entity. Please contact our sales team for more details and pricing for license packs or bulk licenses.

There are no ongoing maintenance costs. Once you have purchased the Model, you own the license for it. Ongoing technical support services are on a per-incident basis with no support contract required.

We're sorry but returns cannot be accepted after the transaction has been completed.

7. Can multiple people use the product concurrently?

Yes. Any workbooks created with our software can be accessed or created by anyone with access to the software. However, the license is for one company and/or entity so any use within the license is permitted.

You may install the model on a server or multiple PC's/laptops but the model is only licensed for a single legal entity or company.

8. Can I share your templates?

No. Our templates are proprietary. By purchasing the Tool, you have been granted a license to use them for one company and/or entity. If you have multiple subsidiaries, each must purchase a separate license.

Tool Requirements Q&A

9. What do I need to use the FAS91 Tool?

The ASC310-20/FAS91 Tool is based on an Excel template using embedded code. You will need Excel 9.0 or greater (Office 2000 or greater). You will also need to set Medium Macro security to allow Macros to run on each workstation. Disk space required will depend on the number of workbooks saved on the system. Each workbook will require approximately 400KB and the base installation will require about 1MB.

10. What if I need additional help?

Technical support is available via email on a per-incident basis. If encounter technical issues, simply email us at support@procognis.com. We will make every effort to resolve your technical issues.

11. How do I install the Tool?

Simply run the Installer file or the Executable you downloaded following the PayPal transaction. The installation software will ask you where you would like to install the files on your hard drive or network. Both applications default to installing the software in the current directory (where you saved the installation file). After installation is complete, a shortcut will be created on your desktop that will link to the working template file.

For the Windows Installer version, should you want to delete the installation, you should use the Add/Remove programs feature in the Control Panel or simply use the Remove option when re-running the installer.