Cash Target is an iPhone App available at Apple's iTunes App Store.
Cash Target calculates daily cash flows for a wide variety of financial products including leases, loans, mortgages and swaps.
It can also be used for general investment appraisal NPVs and IRRs with cash flows on any dates and interest rates which change as often as required.
There is a Help page and Templates for the different types of appraisal Cash Target can handle. These Templates may be modified to handle specific situations.
A daily cash flow report is available to enable you to check the calculations.
Evaluations may be saved on the iPhone as XML and retrieved later or emailed as attachments.
There is also an XML upload option for direct integration into your back office systems. The upload feature is not a standard option - contact Copernicus for further details of how Cash Target can be integrated into your organisation.
Cash Target uses a series of cash flows and interest rates to create a matrix from which one or more of the cash flows or interest rates may be calculated.
All cash flows and interest rates are specified and calculated on a daily basis. Cash flows can be as complex as you like and interest rates can change as often as you like.
There are 2 types of cash flow (Expense and Income) and 2 types of interest rate (Cost of funds and Margin).
Expense items are outflows and Income items are inflows. For example:
i) in an investment situation the Expense is the investment and the Income is the return on that investment
ii) in a lease or a mortgage the Expense would be the price of the asset and the Income would be the regular periodic rentals
iii) in a deep discount bond the Expense would be initial price of the bond and the Income would be the repayment
Cash Target supports any number of Expense and Income items on any dates and will automatically sort them so that you can add further cash flows easily.
Various "Templates" are provided to show you how you can use Cash Target in various situations.
Interest rates are Cost of funds and Margin. Cost of funds is the rate at which you can borrow money.
When calculating the cash flows the Margin is added to the Cost of funds to derive a total "Yield".
If you want to work with a single Interest rate (such as a discount rate for an NPV calculation or a swap rate) then simply touch the Margin flow and then touch the Delete button.