Manuals/calci/PRICE

PRICE (Settlement,MaturityDate,Rate,Yield,RedemptionValue,Frequency,Basis)

• where $Settlement$ is security's settlement date (a date when coupon or a bond is purchased),
• $MaturityDate$ is security's maturity date (a date when coupon or a bond expires),
• $Rate$ is security's annual coupon rate,
• $Yield$ is security's annual yield,
• $RedemptionValue$ is security's redemption value per $100 face value,
• $Frequency$ is the number of coupon payments per year, and
• $Basis$ is the type of day count basis to use.
  • PRICE(), returns the price per $100 face value of a security that pays periodic interest.

Description

PRICE(Settlement,MaturityDate,Rate,Yield,RedemptionValue,Frequency,Basis)

• The function returns the price per $100 face value of security that pays periodic interest.
• $settlement$ and $MaturityDate$ dates should be entered either in 'date format' or 'dates returned using formulas'. If dates are not valid, Calci displays #N/A error message.
• If $Settlement$ date ≥ $MaturityDate$ date, Calci displays #N/A error message.
• $Rate$ and $yield$ values must be greater than or equal to zero, else Calci displays #N/A error message.
• $RedemptionValue$ value must be greater than zero, else Calci displays #N/A error message.
• The values for $Frequency$ should be 1,2 or 4.

For Annual payment, $Frequency$ = 1,

For Semi-annual payment, $Frequency$ = 2,

For Quarterly payment, $Frequency$ = 4.

• Failed to parse (MathML with SVG or PNG fallback (recommended for modern browsers and accessibility tools): Invalid response ("Math extension cannot connect to Restbase.") from server "https://wikimedia.org/api/rest_v1/":): {\displaystyle Basis} value is optional. If omitted, Calci assumes it to be 0.

Below table shows the use of Failed to parse (MathML with SVG or PNG fallback (recommended for modern browsers and accessibility tools): Invalid response ("Math extension cannot connect to Restbase.") from server "https://wikimedia.org/api/rest_v1/":): {\displaystyle Basis} values:

Basis	Description
0	US (NASD) 30/360
1	Actual/actual
2	Actual/360
3	Actual/365
4	European 30/365

• If Failed to parse (MathML with SVG or PNG fallback (recommended for modern browsers and accessibility tools): Invalid response ("Math extension cannot connect to Restbase.") from server "https://wikimedia.org/api/rest_v1/":): {\displaystyle Basis} value is other than 0 to 4, Calci displays #N/A error message.

Examples

PRICE (Settlement,MaturityDate,Rate,Yield,RedemptionValue,Frequency,Basis) function with inputs in order is calculated as follows:

2/2/2008
11/2/2016
5%
8%
100
2
0

=PRICE(A1,A2,A3,A4,A5,A6,A7) : Calculates the Price Value with the inputs in the range A1 to A7. Returns 81.36538958112115.

Related Videos

PRICE

See Also

• PRICEDISC
• PRICEMAT

References

• Bond Valuation
• Basis Convention

• List of Main Z Functions

• Z3 home