How Is Average Daily Balance Calculated?

Note: Historical calculations for average daily balance and cost of funds for the month, quarter, and year-to-date for each day are saved each time you run Transaction Posting (AD190).

The average daily balance of an account is calculated each time Transaction Posting (AD190) is run. The following equations are used for these calculations.


Period ADB	=	Previous Per End Balance	*	Post As of Effective Date	+	Weighted Total of Transactions
				As of Effective Date

Weighted total of transaction	=	Transaction Amount	*	As of (Effective Date	-	Transaction Date or Effective Date	+ 1)

Quarter to Date ADB	=	Weighted Sum
		Quarter Days

Year to Date ADB	=	Weighted Sum
		Year Days

Weighted Sum	=	Summation of each (Period ADB * Period Days)