TM1 Forum

I am working on TM1 official guide and came across these rules which I am not able to understand

1.The volume effect can be defined as:
['Volume Effect','Sales']=['Price','Plan']*(['Volume','Actuals']-['Volume','Plan']);

2.There is a residual amount, which is often described as price/unit variances:
['Mixed Effect',{'Sales','Costs'}]=
['Price Effect']*(['Volume','Actuals']/['Volume','Plan']-1);

How is target area is calculated here since each square brackets has two elements.Please explain.

Hello,

the target area is known as the area definition.

The narrower the area definition, the wider the intersection. For example:

[ ] =N: 12;

Means that everthing in the cube that can store a number = 12. Entirely narrow area defintion covers the whole cube, as it fills up with elements, the intersection gets narrower.

As for your rule:

['Mixed Effect',{'Sales','Costs'}]=
['Price Effect']*(['Volume','Actuals']/['Volume','Plan']-1);

The syntax "{'Sales,Costs'}" is demonstrating that the two elements belong to the same dimension, so the calculation will understand where to return the results. It will not return the calculated result to all the elements in the dimension that are left out, because you are narrowing the selection of elements within the dimension.

Thanks.

Trevor.

Thanks,But I am interested in this part
['Price Effect']*(['Volume','Actuals']/['Volume','Plan']-1);

How the calculation getting calculated here .Is price effect multiplied by volume and actuals and divided by volume and plan,What is the order of calculation.

Ah ok, that would be known as the source.

My demonstration of an area definition will still apply to the calculation, to some extent, as you are selecting an intersection of the cube.

To find out excatly what the area definition is returning, create the view in the cube to get the exact cell.

What is the order of calculation.

It follows BODMAS, Brackets, Ordinal, Division, Multiplication, Addition, Subtraction. BODMAS comes in various forms, BIDMAS, PODMAS etc... Brackets first, Ordinal second(^) and so on....

So for your calculation:
['Volume','Actuals']/['Volume','Plan'] is done first, then that result has 1 taken away from it, then that result is multiplied by price effect.

An example:
Will return 48. Everything is done inside the brackets first, So...10/2 = 5 - 1 = 4, then you Multpily it by 12, returning 48.

Any more questions, just ask.

Thanks again for explaining me ,
['Price Effect']*(['Volume','Actuals']/['Volume','Plan']-1);
for this let us say Price Effect =5
Volume=10
Actuals=20
Plan=30

Now my calculation would be 5*([10,20]/[10,30]-1);
How it is calculated like 10/10 and 20/30 (bold part),I am not able to get it.

Now my calculation would be 5*([10,20]/[10,30]-1);
How it is calculated like 10/10 and 20/30 (bold part),I am not able to get it.

Actully, the arguments inside the [] are not numbers, they are selecting an intersection which will contain a number.
The "['Volume,Actutls']" is an intersection which contains the number that is being divided, they are not inthemselves two seperate numbers. If you put it in the target, such as ['Volume,Actuals'] =N:12, then that intersection would = 12, but Volume and Actuals are items of metadata, not cells.

Create the view based off the area defintition to see what the cell contains.

Thank you very much,It is now clear to me.I am thankful for your help.

Thank you very much,It is now clear to me.I am thankful for your help.

Excellent.

Thanks.