Manuals/calci/TBILLEQ

TBILLEQ(SettlementDate, MaturityDate, Discount)

where,

• $SettlementDate$ is the Treasury Bill's settlement date (a date when the Treasury Bill is purchased)
• $MaturityDate$ is the Treasury Bill's maturity date (a date when the Treasury Bill expires)
• $Discount$ is the Treasury Bill's discount rate.

TBILLEQ() calculates the bond equivalent yield for a Treasury Bill.

Description

TBILLEQ(SettlementDate, MaturityDate, Discount)

• $SettlementDate$ 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.
• $MaturityDate$ should not be greater than one year from $SettlementDate$. Else, Calci displays #N/A error message.
• If $Discount$ <0, Calci displays #N/A error message.
• Formula:

If 'N' is number of days from 'Settlement' to 'Maturity', then TBILLEQ is calculated as -

$TBILLEQ={\frac {(365*Discount)}{(360-(Discount*N))}}$

Examples

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

01/01/2010
11/20/2010
5.85%

=TBILLEQ(A1,A2,A3) : Calculates the bond equivalent yield for the Treasury Bill for values in the range A1 to A3. 
Displays 6.26% as a result.
=TBILLEQ(DATE(2013,10,20),DATE(2014,6,20),9%) : Calculates the bond equivalent yield 
for the Treasury Bill for mentioned values. Displays 9.72% as a result.

See Also

• TBILLPRICE
• TBILLYIELD

References

• Treasury Bill