Description Computes the price of a security with specified rate, redemption value, and yield.
Syntax PRICE ( settlement, maturity, rate, yield, redemption, frequency [, calendar_type] )
Argument | Description |
---|---|
settlement | The date when the security is traded to the buyer. Decimal values will be truncated to integers. |
maturity | The date the security expires and the remaining amount is paid to the investor. It must be later than settlement. Decimal values will be truncated to integers. |
rate | The security's annual coupon rate. The coupons pay at this rate divided by frequency. |
yield | The annual income produced by the security. |
redemption | The security's redemption value per $100 face value. This is the amount paid at the settlement date that is not part of any final coupon payment. |
frequency | The number of interest payments per year. See The frequency Argument for more information. |
[calendar_type] | Optional. One of five methods of counting days for computing interest. See The calendar_type Argument for more information. |
Remarks Use this function when all coupon periods between settlement and maturity are of equal length. If the first coupon period is shorter or longer than the rest, use ODDFPRICE. If the last coupon period is shorter or longer than the rest, use ODDLPRICE.
Equation
where the three-letter codes correspond to values you can compute using the coupon functions, as shown in the following table.
Code | Meaning | Function |
---|---|---|
DCS | Number of days from beginning of the coupon period to settlement. | COUPDAYBS |
DIC | Number of days in coupon period in which settlement falls. | COUPDAYS |
DSC | Number of days from settlement to the next coupon. | COUPDAYSNC |
NCP | Number of coupons payable between settlement and redemption. | COUPNUM |
Examples This function returns 90.35:
PRICE("4/19/97","11/25/01",0.05,0.075,100,4)