maturity, the CALL value must equal 100. (See step 3.)
8.To calculate a result, first press to access the remaining menu labels. Do either a or b:
a.Key in the yield and press . Press to calculate the price.
b.Key in the price and press . Press to calculate the yield.
To calculate the accrued interest, press . The total amount owed vthe seller is PRICE + ACCRU, that is: + =.
Calculating Fractional Values. When given a fractional value that must be entered in decimal form, do the arithmetic and then store the result directly into a variable. Do not clear the arithmetic and then retype the result before storing
Example: Price and Yield of a Bond. What price should you pay on August 10, 2003 for a 6¾% U.S. Treasury bond that matures on May 1, 2018 if you wish a yield of 83/8%? The calendar basis is actual/actual and the coupon payments are
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8.102003 | | Stores settlement | |||
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5.012018 | | Stores maturity date. |
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