Summary

Precision loss due to division before multiplication

Vulnerability Details

Here inside function getPenalizedUnderlying while calculating redeem value, in the formula division (by totalUsdNeeded) is performed first before multiplication (by amount) which could result in precision loss in the calculation of redeem.

Impact

calculation of lesser redeem value than actual.

Tools Used

Manual

Recommendations

redeem = underlyingAmount.mul(s.recapitalized).mul(amount).div(totalUsdNeeded).div(supply);