Receivables - EBS (MOSC)

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How is late charges calculated when using simple interest calc method

edited May 19, 2026 12:27PM in Receivables - EBS (MOSC) 11 commentsAnswered

Dear guru's,

Your assistance and guidance is required.

Customers are setup for interest calculation method of 'simple'. Now as far as I have read up this is then calculated as follows. This is based per transaction as each transaction could have different # of Days Overdue:

Amount Overdue * (Rate / 100) * (# of Days Overdue / # of Days in Period)

25864,30 * (10,25/100) * (1071/30)

So test case as follows:

Overdue Amount

Days Late

Interest

Rate

Charge

25 864,30

1071

30

10,25

217,9

I dont understand how system came to 217,90 using above simple method?

What am I missing … running those numbers through the formula does not bring back 217,90….

Please advise

Thanks

Chez

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