On the Equity CF tab, what is the meaning of “insufficient cash flow” cell F46? The formulas says “All Equity Returned” will appear once Contributions from LP cells F48:P48 = LP Return of Capital cells G46:P46.
So does that mean F46 will be sufficient aka All Equity Returned only once it equals Required Return for LP to Hit Hurdle 1 cells G47:P47?
In certain circumstances, the sum of the partners’ contributed capital is not returned in the first hurdle (Return of Capital and Preferred Return Hurdle). This isn’t necessarily an undesired outcome but I thought the event was important enough to alert the user when it occurs. Thus, when the sum of G46:P46 (return of capital) does not equal the sum of cells F48:P48 (Contributions from LP or LP’s total contributed capital), cell F46 alerts the user.
