DISC

Description Computes the discounted rate for a security.

Syntax DISC (settlement, maturity, price, redemption [, calendar_type])

Argument Description

settlement The date when the security is traded to the buyer. Dates in the argument list must be in the form of a serial number or text. Decimal values are truncated to integers.

maturity The date the security expires and the remaining amount is paid to the investor. It must be later than settlement. Dates in the argument list must be in the form of a serial number or text. Decimal values are truncated to integers.

price The amount paid per $100 face value.

redemption The security's redemption value per $100 face value. This is the amount paid at maturity that is not part of any final coupon payment.

[calendar_type] Optional. One of five methods of counting days for computing interest. See "The calendar_type Argument" for more information.

Argument	Description
settlement	The date when the security is traded to the buyer. Dates in the argument list must be in the form of a serial number or text. Decimal values are truncated to integers.
maturity	The date the security expires and the remaining amount is paid to the investor. It must be later than settlement. Dates in the argument list must be in the form of a serial number or text. Decimal values are truncated to integers.
price	The amount paid per $100 face value.
redemption	The security's redemption value per $100 face value. This is the amount paid at maturity that is not part of any final coupon payment.
[calendar_type]	Optional. One of five methods of counting days for computing interest. See "The calendar_type Argument" for more information.

Remarks DISC understates the equivalent yield normally quoted on CDs and coupon bonds. See YIELDDISC for the yield rate comparison.

DISC, not YIELDDISC, is the complementary function to PRICEDISC.

Equation

Examples This function returns 0.02024:

DISC("7/15/92","12/30/95",93,100)

See Also PRICE, PRICEDISC, PRICEMAT, YIELD, YIELDDISC, YIELDMAT