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import { Big } from 'big.js';
import { format } from 'date-fns';
import {
getAnnualizedPerformancePercent,
getIntervalFromDateRange
} from './calculation-helper';
import { DATE_FORMAT } from './helper';
describe('CalculationHelper', () => {
describe('interval from date range', () => {
it('Get interval of a calendar year', async () => {
const { endDate, startDate } = getIntervalFromDateRange({
dateRange: '2024'
});
// The boundaries are expressed in the local time zone, therefore the
// calendar days must hold independently of the time zone the tests run in
expect(format(startDate, DATE_FORMAT)).toEqual('2023-12-31');
expect(format(endDate, DATE_FORMAT)).toEqual('2024-12-31');
// The start date is exclusive, hence the first instant of the year is
// part of the interval
expect(startDate.getTime()).toEqual(new Date(2024, 0, 1).getTime() - 1);
});
});
describe('annualized performance percentage', () => {
it('Get annualized performance', async () => {
expect(
getAnnualizedPerformancePercent({
daysInMarket: NaN, // differenceInDays of date-fns returns NaN for the same day
netPerformancePercentage: new Big(0)
}).toNumber()
).toEqual(0);
expect(
getAnnualizedPerformancePercent({
daysInMarket: 0,
netPerformancePercentage: new Big(0)
}).toNumber()
).toEqual(0);
/**
* Source: https://www.readyratios.com/reference/analysis/annualized_rate.html
*/
expect(
getAnnualizedPerformancePercent({
daysInMarket: 65, // < 1 year
netPerformancePercentage: new Big(0.1025)
}).toNumber()
).toBeCloseTo(0.729705);
expect(
getAnnualizedPerformancePercent({
daysInMarket: 365, // 1 year
netPerformancePercentage: new Big(0.05)
}).toNumber()
).toBeCloseTo(0.05);
/**
* Source: https://www.investopedia.com/terms/a/annualized-total-return.asp#annualized-return-formula-and-calculation
*/
expect(
getAnnualizedPerformancePercent({
daysInMarket: 575, // > 1 year
netPerformancePercentage: new Big(0.2374)
}).toNumber()
).toBeCloseTo(0.145);
});
});
});