INTRATE(SettlementDate, MaturityDate, Investment, Redemption, Basis)
- where, is the security's settlement date (a date when coupon or a bond is purchased)
- is the security's maturity date (a date when coupon or a bond expires)
- is the amount invested in the security or a bond
- is the amount to be received at maturity of a bond
- is the type of day count basis to use
INTRATE() calculates the interest rate for a fully invested security.
Description
INTRATE(SettlementDate, MaturityDate, Investment, Redemption, Basis)
- and should be entered either in 'date format' or 'dates returned using formulas'. If dates are not valid, Calci displays #N/A error message.
- If >= , Calci displays #N/A error message.
- If <=0 or <=0, Calci displays #N/A error message.
- value is optional. If omitted, Calci assumes it to be 0.
Below table shows the use of values:
| Basis | Description |
|---|---|
| 0 | US (NASD) 30/360 |
| 1 | Actual/actual |
| 2 | Actual/360 |
| 3 | Actual/365 |
| 4 | European 30/365 |
- If value is other than 0 to 4, Calci displays #N/A error message.
- Formula:
If 'B' is number of days in a year, and 'D' is number of days from 'settlement' to maturity', then INTRATE is calculated as -
INTRATE = Failed to parse (syntax error): {\displaystyle \frac{\(redemption-investment)}{investment} X \frac{\B}{DIM}}
Examples
Consider the following example that shows the use of DURATION function:
| 11/1/2010 | ||
| 2/20/2011 | 2/2/2014 | |
| 500000 | 7000 | |
| 800000 | 9000 | |
| 4 | 1 | |
=INTRATE(A1,A2,A3,A4,A5) displays 1.981651376146789 as a result. =INTRATE(DATE(2013,1,1),B2,B3,B4,B5) displays 0.2622154311211943 as a result.