Difference between revisions of "Manuals/calci/DISC"

Revision as of 15:12, 29 June 2018

DISC (SettlementDate,MaturityDate,Price,RedemptionValue,Basis)

where,

$SettlementDate$ is the security's settlement date (a date when coupon or a bond is purchased)
$MaturityDate$ is the security's maturity date (a date when coupon or a bond expires)
$Price$ is the security's price per $100 face value
$RedemptionValue$ is the amount to be received at maturity of a bond
$Basis$ is the type of day count basis to use

DISC(), returns the discount rate for a security.

DISC(SettlementDate, MaturityDate, Price, RedemptionValue, Basis)

$SettlementDate$ and $MaturityDate$ should be entered either in 'date format' or 'dates returned using formulas'. If dates are not valid, Calci displays #N/A error message.
If $SettlementDate$ >= $MaturityDate$ , Calci displays #N/A error message.
If $Price$ <=0 or $RedemptionValue$ <=0, Calci displays #N/A error message.
$Basis$ value is optional. If omitted, Calci assumes it to be 0.

Below table shows the use of $Basis$ values:

If 'B' is number of days in a year, and 'DIM' is number of days from 'Settlement' to ' Maturity', the DISC is calculated as -

DISC = ${\frac {(Redemption-Price)}{Redemption}}X{\frac {B}{DIM}}$

Consider the following example that shows the use of DISC function:

=DISC(A1,A2,A3,A4,A5) displays 0.045345092024540005 as a result.

@@ Line 1: / Line 1: @@
-=DISC(SettlementDate, MaturityDate, Price, Redemption, Basis)=
 <div style="font-size:30px">'''DISC (SettlementDate,MaturityDate,Price,RedemptionValue,Basis)'''</div><br/>
 where,
@@ Line 8: / Line 7: @@
 *<math>Basis</math> is the type of day count basis to use
-DISC() calculates the discount rate for a security.
+DISC(), returns the discount rate for a security.
 == Description ==