help on circular reference and MINIMUM value to be found
 

Icnews, You needn't send it. I'm not sure I'd get it even if I saw it! I
wasn't able to help much, but sometimes just talking out a problem can be of
some help. Glad you figured it out. Cheers, James
"Dana DeLouis" wrote in message
...
Would this work?
Since 20% was in reference to Player #2, I'll use p2 for the 20%
'x is the amount over the investment and Player #1 Return.

(Catchup*x) / (P1_Inv + P1_Rate + x) = p2

Solving for x

x = (P2 * ((P1_Inv) + (P1_Rate))) / (Catchup - P2)


Sub Test()
Dim P1_Inv, P1_Rate, Catchup, P2, Tr2, x

P1_Inv = 100
P1_Rate = 26
Catchup = 0.8
P2 = 0.2

x = (P2 * ((P1_Inv) + (P1_Rate))) / (Catchup - P2)
Tr2 = P1_Inv + P1_Rate + x
End Sub


As a check, x is 42.
Hence, Player #2 is getting:

(0.8*42)/(100 + 26 + 42)

0.2

whick checks ok at 20%

Hence Treshold #2 is 168.

--
HTH :)
Dana DeLouis


"l" wrote in message
...
On Sun, 19 Aug 2007 21:21:07 -0400, "Dana DeLouis"
wrote:

(0.8*x)/(tr1 + x) = 0.2

Hence, x (over threshold #1) is

x = tr1 / 3.

Hence, tr2 = tr1 + tr1 / 3 = (4/3)*tr1

Again, I'm not sure of the exact question.

thanks
there are more variables involved.
The agreement sounds like:
Distribution is made following this order:
1- first 100% to Player1 until he gets back all his invested capita
2- then 100% to player 1 until he gets his preferre return
3- THEN 80% to player 2 and 20% to Player1 until Player 2 has received
20% of all the profit in excess of sub (1)
4- Then 80% to player 1 and 20% to player 2
-----
To notice that the two reported "80%" are two different things:
the first (sub 3) is the speed of the catchup clause. The second is
the split agreed.

Now, in my model i want to make it such a way that i can also change
the speed of the catch-up (sub 3): it may also say "100% to player 2"
or "50% to player 2", without changing the final split (sub 4)

so the threshold 2 is changing with the speed also!!!! the faster the
catchup, the quicker we reach the threshold!