We've worked out the total or overall DSCR.

This is gonna compare the total cash flow, which we could use to cover the total debt service.

It's got one target and now the individual lenders will have their own targets and they'll be a bit harsher because now we'll have individual cash flows. And for example, the senior debt will enjoy all of the cash flows really because there's no debt before it. And then the junior debt is gonna have a really tough time because first the senior debt will have to be serviced, then it needs to get serviced. It means that the service of the junior debt is relatively risky. And we can see here the lender has put in place a higher DSCR perhaps to contract that.

The method to calculate this is much the same as the total DSCR. Initially, we grab the senior debt service from lines 23 and 25. Then we do the same thing for junior debt on 31 33.

These two should add up to the overall debt service that we got on line 59, so we could have a quick look, see if it makes sense, save us from any silly errors.

We're now gonna service the senior debt, the cashflow available to service the senior debt. We'll be CFADs and that's because there isn't nothing else before it.

It's tempting to go and grab this line here cash available for senior debt. The description is, very evocative and, it's tempting you into it and is asking you to use me, however, this won't work. And that's because this cash available for senior debt. what it does is it uses the beginning cash as well.

When we do DSCR calculations, we only really looking at within the year. So the cash flows available for debt service, not opening cash. We're going to use the same tactic as before. With the DSCR itself, we're going to say IF error, then we're gonna perform the debt service coverage ratio and that would already generate an error, but now we'll attach the same flag, which will force an error in the first two years, regardless of what's going on with the DSCR. This time we'll remember to flip the sign and then we'll tell it to put an N/A in if it's inappropriate. I filled in the rest of it a bit quicker. You can see I'm using the same tactic again, which is that if the target is above the result, we should have a breach.

We don't have any breaches here, so I'd just like to make sure it's working. Pushing a 1.2, it's working fine. Get rid of that. Onto junior debt again, it's very tempting to, go to the junior debt and say, well, we've got a nice waterfall here. Here's the cash available for junior debt. The problem we've got is, as I mentioned before, these will contain the opening cash. So unfortunately we need to do effectively a rerunning of the waterfall without the opening cash.

So what we need to do is we need to say, okay, the cash flow available for debt service. Then we're gonna pick all the things about the senior debt that would impact that being the mandatory payment and the interest. You could argue that we should include the issuance of debt, but that's not gonna happen within the period where we've got any of these targets being measured.

There's the cashflow available. We're now gonna calculate the DSCR and then the breach the same way we did before. You can see I've sped that up a little bit, but we've got the same overall tactics, which is the IF error with a flag, and then the breach with reference to the two. It's quite tempting to start copying from one block here to another. If you do that, do make sure that you've updated the links so that it's not the wrong target speaking to this cell here.

We've got a breach over here, so that's useful showing that things are working. We don't need to stress check this.