1. User's Guide
  2. Managing Equity Pickup
  3. EPU Calculation Process

EPU Calculation Process

The EPU calculation process may require you to run calculations or consolidations on Owner and Owned entities, and may include translation, if the Owned and Owner entities use different currencies.

The calculation process follows these steps:

  1. For each pair of entities, the system calculates the owner and owned entities in the default currency. If the Calculation Status for Value Entity Curr Total is not OK or ND, the Calculate or Consolidate (if parent entity) process is run.

  2. The system translates the Owned entity into the default currency of the Owner entity (if the value is not OK - already translated), and runs the Calculate process for Parent Curr Adjs if necessary (if Calculation status is not OK or ND).

  3. The system runs the Sub EquityPickup() routine in the Rule file.

  4. The system calculates the Owner entity. If the Calculation status for Owner in Entity Currency is not ND, Calculate runs to set the entity to OK status. This final calculation occurs only if the Owner entity does not own the next pair and if new data was posted to the Owner entity.

At the end of the calculation process, both the calculation and Equity Pickup status of the entities should be OK, unless another process changed the entities in the meantime.