FINERACT-1981: Enhance EMI Calculator Daily Interest calculation

fineract-progressive-loan/src/main/java/org/apache/fineract/portfolio/loanaccount/loanschedule/data/InterestPeriod.java

@@ -27,6 +27,7 @@ import lombok.EqualsAndHashCode;
 import lombok.Getter;
 import lombok.Setter;
 import lombok.ToString;
+import org.apache.fineract.infrastructure.core.service.DateUtils;
 import org.apache.fineract.infrastructure.core.service.MathUtil;
 import org.apache.fineract.organisation.monetary.domain.Money;
 
@@ -42,27 +43,31 @@ public class InterestPeriod implements Comparable<InterestPeriod> {
     private LocalDate dueDate;
     @Setter
     private BigDecimal rateFactor;
+    @Setter
+    private BigDecimal rateFactorTillPeriodDueDate;
     private Money disbursementAmount;
     private Money balanceCorrectionAmount;
     private Money outstandingLoanBalance;
     private final MathContext mc;
 
     public InterestPeriod(RepaymentPeriod repaymentPeriod, LocalDate fromDate, LocalDate dueDate, BigDecimal rateFactor,
-            Money disbursementAmount, Money balanceCorrectionAmount, Money outstandingLoanBalance, MathContext mc) {
+            BigDecimal rateFactorTillPeriodDueDate, Money disbursementAmount, Money balanceCorrectionAmount, Money outstandingLoanBalance,
+            MathContext mc) {
         this.repaymentPeriod = repaymentPeriod;
         this.fromDate = fromDate;
         this.dueDate = dueDate;
         this.rateFactor = rateFactor;
+        this.rateFactorTillPeriodDueDate = rateFactorTillPeriodDueDate;
         this.disbursementAmount = disbursementAmount;
         this.balanceCorrectionAmount = balanceCorrectionAmount;
         this.outstandingLoanBalance = outstandingLoanBalance;
         this.mc = mc;
     }
 
-    public InterestPeriod(RepaymentPeriod repaymentPeriod, InterestPeriod interestPeriod, MathContext mc) {
+    public InterestPeriod(RepaymentPeriod repaymentPeriod, InterestPeriod interestPeriod) {
         this(repaymentPeriod, interestPeriod.getFromDate(), interestPeriod.getDueDate(), interestPeriod.getRateFactor(),
-                interestPeriod.getDisbursementAmount(), interestPeriod.getBalanceCorrectionAmount(),
+                interestPeriod.getRateFactorTillPeriodDueDate(), interestPeriod.getDisbursementAmount(),
-                interestPeriod.getOutstandingLoanBalance(), mc);
+                interestPeriod.getBalanceCorrectionAmount(), interestPeriod.getOutstandingLoanBalance(), interestPeriod.getMc());
     }
 
     @Override
@@ -79,7 +84,19 @@ public class InterestPeriod implements Comparable<InterestPeriod> {
     }
 
     public Money getCalculatedDueInterest() {
-        return getOutstandingLoanBalance().multipliedBy(getRateFactor(), mc);
+        final BigDecimal interestDueTillRepaymentDueDate = getOutstandingLoanBalance()//
+                .multipliedBy(getRateFactorTillPeriodDueDate(), mc).getAmount() //
+                .divide(BigDecimal.valueOf(getLengthTillPeriodDueDate()), mc) //
+                .multiply(BigDecimal.valueOf(getLength()), mc); //
+        return Money.of(outstandingLoanBalance.getCurrency(), interestDueTillRepaymentDueDate, mc);
+    }
+
+    public long getLength() {
+        return DateUtils.getDifferenceInDays(fromDate, dueDate);
+    }
+
+    public long getLengthTillPeriodDueDate() {
+        return DateUtils.getDifferenceInDays(fromDate, repaymentPeriod.getDueDate());
     }
 
     public void updateOutstandingLoanBalance() {

fineract-progressive-loan/src/main/java/org/apache/fineract/portfolio/loanaccount/loanschedule/data/ProgressiveLoanInterestScheduleModel.java

@@ -189,7 +189,7 @@ public class ProgressiveLoanInterestScheduleModel {
         previousInterestPeriod.addDisbursementAmount(disbursedAmount);
         previousInterestPeriod.addBalanceCorrectionAmount(correctionAmount);
         final InterestPeriod interestPeriod = new InterestPeriod(repaymentPeriod, previousInterestPeriod.getDueDate(), originalDueDate,
-                BigDecimal.ZERO, getZero(), getZero(), getZero(), mc);
+                BigDecimal.ZERO, BigDecimal.ZERO, getZero(), getZero(), getZero(), mc);
         repaymentPeriod.getInterestPeriods().add(interestPeriod);
     }
 

fineract-progressive-loan/src/main/java/org/apache/fineract/portfolio/loanaccount/loanschedule/data/RepaymentPeriod.java

@@ -69,8 +69,8 @@ public class RepaymentPeriod {
         this.mc = mc;
         this.interestPeriods = new ArrayList<>();
         // There is always at least 1 interest period, by default with same from-due date as repayment period
-        getInterestPeriods()
+        getInterestPeriods().add(new InterestPeriod(this, getFromDate(), getDueDate(), BigDecimal.ZERO, BigDecimal.ZERO, getZero(mc),
-                .add(new InterestPeriod(this, getFromDate(), getDueDate(), BigDecimal.ZERO, getZero(mc), getZero(mc), getZero(mc), mc));
+                getZero(mc), getZero(mc), mc));
         this.paidInterest = getZero(mc);
         this.paidPrincipal = getZero(mc);
     }
@@ -87,7 +87,7 @@ public class RepaymentPeriod {
         this.mc = mc;
         // There is always at least 1 interest period, by default with same from-due date as repayment period
         for (InterestPeriod interestPeriod : repaymentPeriod.interestPeriods) {
-            interestPeriods.add(new InterestPeriod(this, interestPeriod, mc));
+            interestPeriods.add(new InterestPeriod(this, interestPeriod));
         }
     }
 

fineract-progressive-loan/src/main/java/org/apache/fineract/portfolio/loanproduct/calc/ProgressiveEMICalculator.java

@@ -314,38 +314,42 @@ public final class ProgressiveEMICalculator implements EMICalculator {
 
     void calculateRateFactorForRepaymentPeriod(final RepaymentPeriod repaymentPeriod,
             final ProgressiveLoanInterestScheduleModel scheduleModel) {
-        repaymentPeriod.getInterestPeriods().forEach(interestPeriod -> interestPeriod
+        repaymentPeriod.getInterestPeriods().forEach(interestPeriod -> {
-                .setRateFactor(calculateRateFactorPerPeriod(repaymentPeriod, interestPeriod, scheduleModel)));
+            interestPeriod.setRateFactor(calculateRateFactorPerPeriod(scheduleModel, repaymentPeriod, interestPeriod.getFromDate(),
+                    interestPeriod.getDueDate()));
+            interestPeriod.setRateFactorTillPeriodDueDate(calculateRateFactorPerPeriod(scheduleModel, repaymentPeriod,
+                    interestPeriod.getFromDate(), repaymentPeriod.getDueDate()));
+        });
     }
 
     /**
      * Calculate Rate Factor for an exact Period
      */
-    BigDecimal calculateRateFactorPerPeriod(final RepaymentPeriod repaymentPeriod, final InterestPeriod interestPeriod,
+    BigDecimal calculateRateFactorPerPeriod(final ProgressiveLoanInterestScheduleModel scheduleModel, final RepaymentPeriod repaymentPeriod,
-            final ProgressiveLoanInterestScheduleModel scheduleModel) {
+            final LocalDate interestPeriodFromDate, final LocalDate interestPeriodDueDate) {
         final MathContext mc = scheduleModel.mc();
         final LoanProductRelatedDetail loanProductRelatedDetail = scheduleModel.loanProductRelatedDetail();
-        final BigDecimal interestRate = calcNominalInterestRatePercentage(scheduleModel.getInterestRate(interestPeriod.getFromDate()),
+        final BigDecimal interestRate = calcNominalInterestRatePercentage(scheduleModel.getInterestRate(interestPeriodFromDate),
                 scheduleModel.mc());
         final DaysInYearType daysInYearType = DaysInYearType.fromInt(loanProductRelatedDetail.getDaysInYearType());
         final DaysInMonthType daysInMonthType = DaysInMonthType.fromInt(loanProductRelatedDetail.getDaysInMonthType());
         final PeriodFrequencyType repaymentFrequency = loanProductRelatedDetail.getRepaymentPeriodFrequencyType();
         final BigDecimal repaymentEvery = BigDecimal.valueOf(loanProductRelatedDetail.getRepayEvery());
 
-        final BigDecimal daysInMonth = BigDecimal.valueOf(daysInMonthType.getNumberOfDays(interestPeriod.getFromDate()));
+        final BigDecimal daysInMonth = BigDecimal.valueOf(daysInMonthType.getNumberOfDays(interestPeriodFromDate));
-        final BigDecimal daysInYear = BigDecimal.valueOf(daysInYearType.getNumberOfDays(interestPeriod.getFromDate()));
+        final BigDecimal daysInYear = BigDecimal.valueOf(daysInYearType.getNumberOfDays(interestPeriodFromDate));
         final BigDecimal actualDaysInPeriod = BigDecimal
-                .valueOf(DateUtils.getDifferenceInDays(interestPeriod.getFromDate(), interestPeriod.getDueDate()));
+                .valueOf(DateUtils.getDifferenceInDays(interestPeriodFromDate, interestPeriodDueDate));
         final BigDecimal calculatedDaysInPeriod = BigDecimal
                 .valueOf(DateUtils.getDifferenceInDays(repaymentPeriod.getFromDate(), repaymentPeriod.getDueDate()));
-        final int numberOfYearsDifferenceInPeriod = interestPeriod.getDueDate().getYear() - interestPeriod.getFromDate().getYear();
+        final int numberOfYearsDifferenceInPeriod = interestPeriodDueDate.getYear() - interestPeriodFromDate.getYear();
         final boolean partialPeriodCalculationNeeded = daysInYearType == DaysInYearType.ACTUAL && numberOfYearsDifferenceInPeriod > 0;
 
         // TODO check: loanApplicationTerms.calculatePeriodsBetweenDates(startDate, endDate); // calculate period data
         // TODO review: (repayment frequency: days, weeks, years; validation day is month fix 30)
         // TODO refactor this logic to represent in interest period
         if (partialPeriodCalculationNeeded) {
-            final BigDecimal cumulatedPeriodFractions = calculatePeriodFractions(interestPeriod, mc);
+            final BigDecimal cumulatedPeriodFractions = calculatePeriodFractions(interestPeriodFromDate, interestPeriodDueDate, mc);
             return rateFactorByRepaymentPartialPeriod(interestRate, repaymentEvery, cumulatedPeriodFractions, BigDecimal.ONE,
                     BigDecimal.ONE, mc);
         }
@@ -357,18 +361,19 @@ public final class ProgressiveEMICalculator implements EMICalculator {
     /**
      * Calculate Period fractions part based on how much year has in the period
      *
-     * @param interestPeriod
+     * @param interestPeriodFromDate
+     * @param interestPeriodDueDate
      * @return
      */
-    BigDecimal calculatePeriodFractions(InterestPeriod interestPeriod, MathContext mc) {
+    BigDecimal calculatePeriodFractions(final LocalDate interestPeriodFromDate, final LocalDate interestPeriodDueDate, MathContext mc) {
         BigDecimal cumulatedRateFactor = BigDecimal.ZERO;
-        int actualYear = interestPeriod.getFromDate().getYear();
+        int actualYear = interestPeriodFromDate.getYear();
-        int endYear = interestPeriod.getDueDate().getYear();
+        int endYear = interestPeriodDueDate.getYear();
-        LocalDate actualDate = interestPeriod.getFromDate();
+        LocalDate actualDate = interestPeriodFromDate;
         LocalDate endOfActualYear;
 
         while (actualYear <= endYear) {
-            endOfActualYear = actualYear == endYear ? interestPeriod.getDueDate() : LocalDate.of(actualYear, 12, 31);
+            endOfActualYear = actualYear == endYear ? interestPeriodDueDate : LocalDate.of(actualYear, 12, 31);
             BigDecimal numberOfDaysInYear = BigDecimal.valueOf(Year.of(actualYear).length());
             BigDecimal calculatedDaysInActualYear = BigDecimal.valueOf(DateUtils.getDifferenceInDays(actualDate, endOfActualYear));
             cumulatedRateFactor = cumulatedRateFactor.add(calculatedDaysInActualYear.divide(numberOfDaysInYear, mc), mc);

fineract-progressive-loan/src/test/java/org/apache/fineract/portfolio/loanproduct/calc/ProgressiveEMICalculatorTest.java

@@ -1110,6 +1110,138 @@ class ProgressiveEMICalculatorTest {
         checkPeriod(interestSchedule, 5, 0, 16.89, 0.003950916667, 0.07, 16.82, 0.0);
     }
 
+    @Test
+    public void test_dailyInterest_disbursedAmt1000_dayInYears360_daysInMonth30_repayIn1Month() {
+
+        final List<LoanScheduleModelRepaymentPeriod> expectedRepaymentPeriods = new ArrayList<>();
+
+        expectedRepaymentPeriods.add(repayment(1, LocalDate.of(2024, 1, 1), LocalDate.of(2024, 2, 1)));
+
+        final BigDecimal interestRate = BigDecimal.valueOf(7.0);
+        final Integer installmentAmountInMultiplesOf = null;
+
+        Mockito.when(loanProductRelatedDetail.getAnnualNominalInterestRate()).thenReturn(interestRate);
+        Mockito.when(loanProductRelatedDetail.getDaysInYearType()).thenReturn(DaysInYearType.DAYS_360.getValue());
+        Mockito.when(loanProductRelatedDetail.getDaysInMonthType()).thenReturn(DaysInMonthType.DAYS_30.getValue());
+        Mockito.when(loanProductRelatedDetail.getRepaymentPeriodFrequencyType()).thenReturn(PeriodFrequencyType.MONTHS);
+        Mockito.when(loanProductRelatedDetail.getRepayEvery()).thenReturn(1);
+        Mockito.when(loanProductRelatedDetail.getCurrency()).thenReturn(monetaryCurrency);
+
+        final ProgressiveLoanInterestScheduleModel interestModel = emiCalculator.generateInterestScheduleModel(expectedRepaymentPeriods,
+                loanProductRelatedDetail, installmentAmountInMultiplesOf, mc);
+
+        final Money disbursedAmount = toMoney(1000.0);
+        emiCalculator.addDisbursement(interestModel, LocalDate.of(2024, 1, 1), disbursedAmount);
+
+        checkPeriod(interestModel, 0, 0, 1005.83, 0.0, 0.0, 5.83, 1000.0, 0.0);
+        checkPeriod(interestModel, 0, 1, 1005.83, 0.005833333333, 5.83, 1000.0, 0.0);
+
+        final LocalDate dueDate = LocalDate.of(2024, 2, 1);
+        final LocalDate startDay = LocalDate.of(2024, 1, 1);
+
+        checkDailyInterest(interestModel, dueDate, startDay, 1, 0.19, 0.19);
+        checkDailyInterest(interestModel, dueDate, startDay, 2, 0.19, 0.38);
+        checkDailyInterest(interestModel, dueDate, startDay, 3, 0.18, 0.56);
+        checkDailyInterest(interestModel, dueDate, startDay, 4, 0.19, 0.75);
+        checkDailyInterest(interestModel, dueDate, startDay, 5, 0.19, 0.94);
+        checkDailyInterest(interestModel, dueDate, startDay, 6, 0.19, 1.13);
+        checkDailyInterest(interestModel, dueDate, startDay, 7, 0.19, 1.32);
+        checkDailyInterest(interestModel, dueDate, startDay, 8, 0.18, 1.50);
+        checkDailyInterest(interestModel, dueDate, startDay, 9, 0.19, 1.69);
+        checkDailyInterest(interestModel, dueDate, startDay, 10, 0.19, 1.88);
+        checkDailyInterest(interestModel, dueDate, startDay, 11, 0.19, 2.07);
+        checkDailyInterest(interestModel, dueDate, startDay, 12, 0.19, 2.26);
+        checkDailyInterest(interestModel, dueDate, startDay, 13, 0.18, 2.44);
+        checkDailyInterest(interestModel, dueDate, startDay, 14, 0.19, 2.63);
+        checkDailyInterest(interestModel, dueDate, startDay, 15, 0.19, 2.82);
+        checkDailyInterest(interestModel, dueDate, startDay, 16, 0.19, 3.01);
+        checkDailyInterest(interestModel, dueDate, startDay, 17, 0.19, 3.20);
+        checkDailyInterest(interestModel, dueDate, startDay, 18, 0.19, 3.39);
+        checkDailyInterest(interestModel, dueDate, startDay, 19, 0.18, 3.57);
+        checkDailyInterest(interestModel, dueDate, startDay, 20, 0.19, 3.76);
+        checkDailyInterest(interestModel, dueDate, startDay, 21, 0.19, 3.95);
+        checkDailyInterest(interestModel, dueDate, startDay, 22, 0.19, 4.14);
+        checkDailyInterest(interestModel, dueDate, startDay, 23, 0.19, 4.33);
+        checkDailyInterest(interestModel, dueDate, startDay, 24, 0.18, 4.51);
+        checkDailyInterest(interestModel, dueDate, startDay, 25, 0.19, 4.70);
+        checkDailyInterest(interestModel, dueDate, startDay, 26, 0.19, 4.89);
+        checkDailyInterest(interestModel, dueDate, startDay, 27, 0.19, 5.08);
+        checkDailyInterest(interestModel, dueDate, startDay, 28, 0.19, 5.27);
+        checkDailyInterest(interestModel, dueDate, startDay, 29, 0.18, 5.45);
+        checkDailyInterest(interestModel, dueDate, startDay, 30, 0.19, 5.64);
+        checkDailyInterest(interestModel, dueDate, startDay, 31, 0.19, 5.83);
+    }
+
+    @Test
+    public void test_dailyInterest_disbursedAmt2000_dayInYears360_daysInMonth30_repayIn2Month() {
+
+        final List<LoanScheduleModelRepaymentPeriod> expectedRepaymentPeriods = new ArrayList<>();
+
+        expectedRepaymentPeriods.add(repayment(1, LocalDate.of(2024, 1, 1), LocalDate.of(2024, 2, 1)));
+
+        final BigDecimal interestRate = BigDecimal.valueOf(7.0);
+        final Integer installmentAmountInMultiplesOf = null;
+
+        Mockito.when(loanProductRelatedDetail.getAnnualNominalInterestRate()).thenReturn(interestRate);
+        Mockito.when(loanProductRelatedDetail.getDaysInYearType()).thenReturn(DaysInYearType.DAYS_360.getValue());
+        Mockito.when(loanProductRelatedDetail.getDaysInMonthType()).thenReturn(DaysInMonthType.DAYS_30.getValue());
+        Mockito.when(loanProductRelatedDetail.getRepaymentPeriodFrequencyType()).thenReturn(PeriodFrequencyType.MONTHS);
+        Mockito.when(loanProductRelatedDetail.getRepayEvery()).thenReturn(1);
+        Mockito.when(loanProductRelatedDetail.getCurrency()).thenReturn(monetaryCurrency);
+
+        final ProgressiveLoanInterestScheduleModel interestModel = emiCalculator.generateInterestScheduleModel(expectedRepaymentPeriods,
+                loanProductRelatedDetail, installmentAmountInMultiplesOf, mc);
+
+        final Money disbursedAmount1st = toMoney(1000.0);
+        final Money disbursedAmount2nd = toMoney(1000.0);
+        emiCalculator.addDisbursement(interestModel, LocalDate.of(2024, 1, 1), disbursedAmount1st);
+        emiCalculator.addDisbursement(interestModel, LocalDate.of(2024, 1, 15), disbursedAmount2nd);
+
+        checkPeriod(interestModel, 0, 0, 2009.03, 0.0, 0.0, 9.03, 2000.0, 0.0);
+        checkPeriod(interestModel, 0, 1, 2009.03, 0.002634408602, 2.63, 9.03, 2000.0, 0.0);
+        checkPeriod(interestModel, 0, 2, 2009.03, 0.003198924731, 6.40, 9.03, 2000.0, 0.0);
+
+        final LocalDate dueDate = LocalDate.of(2024, 2, 1);
+        final LocalDate startDay = LocalDate.of(2024, 1, 1);
+
+        // 1st 1000 disbursement accruals
+        // Total Interest: 5.83 (31 days), 2.63 (14 days)
+        checkDailyInterest(interestModel, dueDate, startDay, 1, 0.19, 0.19);
+        checkDailyInterest(interestModel, dueDate, startDay, 2, 0.19, 0.38);
+        checkDailyInterest(interestModel, dueDate, startDay, 3, 0.18, 0.56);
+        checkDailyInterest(interestModel, dueDate, startDay, 4, 0.19, 0.75);
+        checkDailyInterest(interestModel, dueDate, startDay, 5, 0.19, 0.94);
+        checkDailyInterest(interestModel, dueDate, startDay, 6, 0.19, 1.13);
+        checkDailyInterest(interestModel, dueDate, startDay, 7, 0.19, 1.32);
+        checkDailyInterest(interestModel, dueDate, startDay, 8, 0.18, 1.50);
+        checkDailyInterest(interestModel, dueDate, startDay, 9, 0.19, 1.69);
+        checkDailyInterest(interestModel, dueDate, startDay, 10, 0.19, 1.88);
+        checkDailyInterest(interestModel, dueDate, startDay, 11, 0.19, 2.07);
+        checkDailyInterest(interestModel, dueDate, startDay, 12, 0.19, 2.26);
+        checkDailyInterest(interestModel, dueDate, startDay, 13, 0.18, 2.44);
+        checkDailyInterest(interestModel, dueDate, startDay, 14, 0.19, 2.63);
+
+        // 2nd 1000 disbursement accruals
+        // Total Interest: 6.40 (17 days)
+        checkDailyInterest(interestModel, dueDate, startDay, 15, 0.38, 3.01);
+        checkDailyInterest(interestModel, dueDate, startDay, 16, 0.37, 3.38);
+        checkDailyInterest(interestModel, dueDate, startDay, 17, 0.38, 3.76);
+        checkDailyInterest(interestModel, dueDate, startDay, 18, 0.38, 4.14);
+        checkDailyInterest(interestModel, dueDate, startDay, 19, 0.37, 4.51);
+        checkDailyInterest(interestModel, dueDate, startDay, 20, 0.38, 4.89);
+        checkDailyInterest(interestModel, dueDate, startDay, 21, 0.38, 5.27);
+        checkDailyInterest(interestModel, dueDate, startDay, 22, 0.37, 5.64);
+        checkDailyInterest(interestModel, dueDate, startDay, 23, 0.38, 6.02);
+        checkDailyInterest(interestModel, dueDate, startDay, 24, 0.37, 6.39);
+        checkDailyInterest(interestModel, dueDate, startDay, 25, 0.38, 6.77);
+        checkDailyInterest(interestModel, dueDate, startDay, 26, 0.38, 7.15);
+        checkDailyInterest(interestModel, dueDate, startDay, 27, 0.37, 7.52);
+        checkDailyInterest(interestModel, dueDate, startDay, 28, 0.38, 7.90);
+        checkDailyInterest(interestModel, dueDate, startDay, 29, 0.38, 8.28);
+        checkDailyInterest(interestModel, dueDate, startDay, 30, 0.37, 8.65);
+        checkDailyInterest(interestModel, dueDate, startDay, 31, 0.38, 9.03);
+    }
+
     private static LoanScheduleModelRepaymentPeriod repayment(int periodNumber, LocalDate fromDate, LocalDate dueDate) {
         final Money zeroAmount = Money.zero(monetaryCurrency);
         return LoanScheduleModelRepaymentPeriod.repayment(periodNumber, fromDate, dueDate, zeroAmount, zeroAmount, zeroAmount, zeroAmount,
@@ -1126,6 +1258,17 @@ class ProgressiveEMICalculatorTest {
         return period;
     }
 
+    private static void checkDailyInterest(final ProgressiveLoanInterestScheduleModel interestModel, final LocalDate repaymentPeriodDueDate,
+            final LocalDate interestStartDay, final int dayOffset, final double dailyInterest, final double interest) {
+        Money previousInterest = emiCalculator
+                .getPayableDetails(interestModel, repaymentPeriodDueDate, interestStartDay.plusDays(dayOffset - 1)).getPayableInterest();
+        Money currentInterest = emiCalculator.getPayableDetails(interestModel, repaymentPeriodDueDate, interestStartDay.plusDays(dayOffset))
+                .getPayableInterest();
+
+        Assertions.assertEquals(dailyInterest, toDouble(currentInterest.minus(previousInterest)));
+        Assertions.assertEquals(interest, toDouble(currentInterest));
+    }
+
     private static void checkPeriod(final ProgressiveLoanInterestScheduleModel interestScheduleModel, final int repaymentIdx,
             final int interestIdx, final double emiValue, final double rateFactor, final double interestDue, final double principalDue,
             final double remaingBalance) {

integration-tests/src/test/java/org/apache/fineract/integrationtests/ExternalBusinessEventTest.java

@@ -182,8 +182,8 @@ public class ExternalBusinessEventTest extends BaseLoanIntegrationTest {
             Assertions.assertNotNull(postLoansLoanIdTransactionsResponse);
             Assertions.assertNotNull(postLoansLoanIdTransactionsResponse.getResourceId());
 
-            verifyBusinessEvents(new LoanTransactionBusinessEvent("LoanTransactionInterestRefundPostBusinessEvent", "22 January 2021", 5.75,
+            verifyBusinessEvents(new LoanTransactionBusinessEvent("LoanTransactionInterestRefundPostBusinessEvent", "22 January 2021", 5.74,
-                    0.0, 5.75, 0.0, 0.0, 0.0));
+                    0.0, 5.74, 0.0, 0.0, 0.0));
         });
         enableLoanInterestRefundPstBusinessEvent(false);
     }

integration-tests/src/test/java/org/apache/fineract/integrationtests/LoanInterestRefundTest.java

@@ -148,8 +148,8 @@ public class LoanInterestRefundTest extends BaseLoanIntegrationTest {
             verifyTransactions(loanId, //
                     transaction(1000.0, "Disbursement", "01 January 2021"), //
                     transaction(1000.0, "Payout Refund", "22 January 2021"), //
-                    transaction(5.75, "Interest Refund", "22 January 2021"), //
+                    transaction(5.74, "Interest Refund", "22 January 2021"), //
-                    transaction(5.75, "Accrual", "22 January 2021")); //
+                    transaction(5.74, "Accrual", "22 January 2021")); //
 
             checkTransactionWasNotReverseReplayed(postLoansLoanIdTransactionsResponse.getLoanId(),
                     postLoansLoanIdTransactionsResponse.getResourceId());
@@ -158,12 +158,12 @@ public class LoanInterestRefundTest extends BaseLoanIntegrationTest {
 
             verifyTRJournalEntries(postLoansLoanIdTransactionsResponse.getResourceId(), //
                     journalEntry(1000, fundSource, "DEBIT"), //
-                    journalEntry(5.75, interestReceivableAccount, "CREDIT"), //
+                    journalEntry(5.74, interestReceivableAccount, "CREDIT"), //
-                    journalEntry(994.25, loansReceivableAccount, "CREDIT"));
+                    journalEntry(994.26, loansReceivableAccount, "CREDIT"));
 
             verifyTRJournalEntries(postLoansLoanIdTransactionsResponse.getSubResourceId(),
-                    journalEntry(5.75, interestIncomeAccount, "DEBIT"), //
+                    journalEntry(5.74, interestIncomeAccount, "DEBIT"), //
-                    journalEntry(5.75, loansReceivableAccount, "CREDIT")); //
+                    journalEntry(5.74, loansReceivableAccount, "CREDIT")); //
         });
     }
 
@@ -204,8 +204,8 @@ public class LoanInterestRefundTest extends BaseLoanIntegrationTest {
 
             logLoanTransactions(loanId);
             verifyTransactions(loanId, transaction(1000.0, "Disbursement", "01 January 2021"),
-                    transaction(1000.0, "Merchant Issued Refund", "22 January 2021"), transaction(5.75, "Accrual", "22 January 2021"),
+                    transaction(1000.0, "Merchant Issued Refund", "22 January 2021"), transaction(5.74, "Accrual", "22 January 2021"),
-                    transaction(5.75, "Interest Refund", "22 January 2021"));
+                    transaction(5.74, "Interest Refund", "22 January 2021"));
         });
     }
 
@@ -235,8 +235,8 @@ public class LoanInterestRefundTest extends BaseLoanIntegrationTest {
 
             logLoanTransactions(loanId);
             verifyTransactions(loanId, transaction(1000.0, "Disbursement", "01 January 2021"),
-                    transaction(1000.0, "Payout Refund", "22 January 2021"), transaction(5.75, "Accrual", "22 January 2021"),
+                    transaction(1000.0, "Payout Refund", "22 January 2021"), transaction(5.74, "Accrual", "22 January 2021"),
-                    transaction(5.75, "Interest Refund", "22 January 2021"));
+                    transaction(5.74, "Interest Refund", "22 January 2021"));
         });
     }
 
@@ -310,7 +310,7 @@ public class LoanInterestRefundTest extends BaseLoanIntegrationTest {
             logLoanTransactions(loanId);
             verifyTransactions(loanId, transaction(1000.0, "Disbursement", "01 January 2021"),
                     transaction(1000.0, "Payout Refund", "09 February 2021"), transaction(87.89, "Repayment", "01 February 2021"),
-                    transaction(10.50, "Interest Refund", "09 February 2021"));
+                    transaction(10.49, "Interest Refund", "09 February 2021"));
         });
     }
 
@@ -345,7 +345,7 @@ public class LoanInterestRefundTest extends BaseLoanIntegrationTest {
             logLoanTransactions(loanId);
             verifyTransactions(loanId, transaction(750.0, "Disbursement", "01 January 2021"),
                     transaction(250.0, "Disbursement", "01 January 2021"), transaction(1000.0, "Payout Refund", "22 January 2021"),
-                    transaction(5.75, "Accrual", "22 January 2021"), transaction(5.75, "Interest Refund", "22 January 2021"));
+                    transaction(5.74, "Accrual", "22 January 2021"), transaction(5.74, "Interest Refund", "22 January 2021"));
         });
     }
 
@@ -381,7 +381,7 @@ public class LoanInterestRefundTest extends BaseLoanIntegrationTest {
             logLoanTransactions(loanId);
             verifyTransactions(loanId, transaction(750.0, "Disbursement", "04 January 2021"),
                     transaction(250.0, "Disbursement", "01 January 2021"), transaction(1000.0, "Payout Refund", "22 January 2021"),
-                    transaction(5.14, "Accrual", "22 January 2021"), transaction(5.14, "Interest Refund", "22 January 2021"));
+                    transaction(5.13, "Accrual", "22 January 2021"), transaction(5.13, "Interest Refund", "22 January 2021"));
         });
     }
 
@@ -508,7 +508,7 @@ public class LoanInterestRefundTest extends BaseLoanIntegrationTest {
             verifyTransactions(loanId, transaction(1000.0, "Disbursement", "01 January 2021"), //
                     transaction(87.89, "Repayment", "01 February 2021"), //
                     transaction(500.0, "Payout Refund", "09 February 2021"), //
-                    transaction(5.35, "Interest Refund", "09 February 2021"));
+                    transaction(5.34, "Interest Refund", "09 February 2021"));
         });
     }
 
@@ -543,7 +543,7 @@ public class LoanInterestRefundTest extends BaseLoanIntegrationTest {
             verifyTransactions(loanId, transaction(250.0, "Disbursement", "01 January 2021"), //
                     transaction(750.0, "Disbursement", "01 January 2021"), //
                     transaction(500.0, "Payout Refund", "22 January 2021"), //
-                    transaction(2.88, "Interest Refund", "22 January 2021"));
+                    transaction(2.87, "Interest Refund", "22 January 2021"));
         });
     }
 
@@ -580,7 +580,7 @@ public class LoanInterestRefundTest extends BaseLoanIntegrationTest {
             verifyTransactions(loanId, transaction(250.0, "Disbursement", "01 January 2021"), //
                     transaction(750.0, "Disbursement", "07 January 2021"), //
                     transaction(500.0, "Payout Refund", "22 January 2021"), //
-                    transaction(2.47, "Interest Refund", "22 January 2021"));
+                    transaction(2.46, "Interest Refund", "22 January 2021"));
         });
     }
 
@@ -766,7 +766,7 @@ public class LoanInterestRefundTest extends BaseLoanIntegrationTest {
             verifyTransactions(loanId, transaction(250.0, "Disbursement", "01 January 2021"), //
                     transaction(750.0, "Disbursement", "01 January 2021"), //
                     transaction(500.0, "Merchant Issued Refund", "22 January 2021"), //
-                    transaction(2.88, "Interest Refund", "22 January 2021") //
+                    transaction(2.87, "Interest Refund", "22 January 2021") //
             );
         });
         runAt("26 January 2021", () -> {
@@ -776,14 +776,14 @@ public class LoanInterestRefundTest extends BaseLoanIntegrationTest {
             verifyTransactions(loanId, transaction(250.0, "Disbursement", "01 January 2021"), //
                     transaction(750.0, "Disbursement", "01 January 2021"), //
                     transaction(500.0, "Merchant Issued Refund", "22 January 2021"), //
-                    transaction(2.88, "Interest Refund", "22 January 2021"), //
+                    transaction(2.87, "Interest Refund", "22 January 2021"), //
                     transaction(400.0, "Payout Refund", "26 January 2021"), //
-                    transaction(2.74, "Interest Refund", "26 January 2021") //
+                    transaction(2.73, "Interest Refund", "26 January 2021") //
             );
         });
         runAt("1 February 2021", () -> {
             Long loanId = loanIdRef.get();
-            loanTransactionHelper.makeLoanRepayment("Repayment", "1 February 2021", 100.85F, loanId.intValue());
+            loanTransactionHelper.makeLoanRepayment("Repayment", "1 February 2021", 100.86F, loanId.intValue());
             GetLoansLoanIdResponse loanDetails = loanTransactionHelper.getLoanDetails(loanId);
             Assertions.assertNotNull(loanDetails);
             Assertions.assertNotNull(loanDetails.getStatus());
@@ -844,7 +844,7 @@ public class LoanInterestRefundTest extends BaseLoanIntegrationTest {
             Long loanId = loanIdRef.get();
             loanTransactionHelper.makeLoanRepayment("Repayment", "1 February 2021", 171.41F, loanId.intValue());
             loanTransactionHelper.makeLoanRepayment("Repayment", "1 March 2021", 171.41F, loanId.intValue());
-            loanTransactionHelper.makeLoanRepayment("Repayment", "1 April 2021", 11.26F, loanId.intValue());
+            loanTransactionHelper.makeLoanRepayment("Repayment", "1 April 2021", 11.25F, loanId.intValue());
             GetLoansLoanIdResponse loanDetails = loanTransactionHelper.getLoanDetails(loanId);
 
             Assertions.assertNotNull(loanDetails);
@@ -912,7 +912,7 @@ public class LoanInterestRefundTest extends BaseLoanIntegrationTest {
         runAt("1 April 2021", () -> {
             Long loanId = loanIdRef.get();
             loanTransactionHelper.makeLoanRepayment("Repayment", "1 March 2021", 171.41F, loanId.intValue());
-            loanTransactionHelper.makeLoanRepayment("Repayment", "1 April 2021", 11.16F, loanId.intValue());
+            loanTransactionHelper.makeLoanRepayment("Repayment", "1 April 2021", 11.17F, loanId.intValue());
             GetLoansLoanIdResponse loanDetails = loanTransactionHelper.getLoanDetails(loanId);
 
             Assertions.assertNotNull(loanDetails);