Product-specific Q&A

1. What is included in the Hedge Accounting Tool?

2. How can I purchase the model?

3. How do I Install the model?

4. How does it compute Hedge Ineffectiveness?

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?

Model 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 Hedge Accounting Tool?

The Hedge Accounting Tool includes a rich Excel template with software to prevent user error and complete documentation. The Model also includes extensive documentation.

This product supports 360/30, Actual Days and 360/Actual Days interest models. This product can accomodate fully amortizing, interest only and balloon payments on the base hedged instrument for up to five hedges (hedges are interest-only). In addition, interest rates and payments can be adjusted on a monthly basis for the base instrument and all hedges. Having mutlple interest models and payment types available greatly increases tool usefulness.

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 Hedge Ineffectiveness?

The Hedge Accounting Tool calculates ineffectiveness by computing fair value of the base instrument and the hedges. The fair value of the base instrument is then apportioned against the hedge(s) considering both term and notional amount. The ineffectiveness is the difference between the aportioned value for the base instrument and the fair value of each hedge.

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

The Hedge Accounting Tool is our interpretation of the current guidance for determining fair value and related ineffectiveness and has been extensively tested. Our technique utilizes industry best practice and key 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 computed results in a zero balance for the instrument and all deferred items on the last payment date.

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

The initial cost of the product is $3,499 (US Dollars). You purchase by online payment with PayPal or via invoice.

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 Tool, 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 Model, you have been granted a license to use it for one company and/or entity. If you have multiple subsidiaries, each must purchase a separate license.

Model Requirements Q&A

9. What do I need to use the Hedge Accounting Tool?

The Hedge Accounting 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 1.1MB and the base installation will require about 2MB.

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 Model?

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.