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The formula for effective maturity.

Suppose that an installment plan also shows additional borrowings of a debtor. That is, at some point in time (other than the inception date) the borrower is given a fixed amount for once or several times before the maturity.

To illustrate (assume that the inception date is the first day of 2023):

Date Payment/Loan Payment/Loan Amount Outstanding Balance
01-01-2024 P 10 X
01-01-2025 P 10 X-10
01-01-2026 L 20 X+10
01-01-2027 P 13 X-3
01-01-2028 P 13 X-16
. . . .
. . . .

In that case, should the additional loans be taken into account as negative cash flows while calculating the effective maturity of the loan? That is;

or not

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