(CVF/360) * 100
(CVF/360) * 100
(5/360) * 100 = 1.4
P(r/360*d)
Where:
P is the amount of principle or invoice amount;
r equals the Prompt Payment interest rate; and
d equals the numbers of days for which interest is being calculated.
$1,500 (.065/360*10) = $2.71
P(1+r/12)n*(1+(r/360*d))-P
Where:
P equals the principle or invoice amount;
r equals the interest rate;
n equals the number of months; and
d equals the number of days for which interest is being calculated.
$1,500(1+.06/12)2 * (1+(0.06/360*15))-$1,500 = $18.83
5 C.F.R. §1315.17