Bonds 107
Example 2
A bond has a call provision at 104 and a coupon rate of 5.5%. If the bond matures on
October 15, 2020 and is presently selling at 101, what is the yield-to-call on April 15, 2012?
Assume the bond is calculated on a semiannual coupon payment on an actual/actual basis.
S7:YG:G:
]°
6-4-2020 4
Inputs
June 4, 2020
for the maturity date.
S7jV]Î
6.75
Inputs
6.75%
for the value for
CPN%
.
J::]Ë
100.00
Inputs call value. Optional, as default is
100
. Note: if
Call
requires another value,
key in the number followed by
]Ë
.
Y7jV]Ô
4.75
Inputs
4.75%
for Yield%.
]Ñ
115.89
Calculates the price.
1]Û
2.69
Displays the current value for accrued
interest.
4
118.58
Returns the result for total price (value of
price + value of accrued interest). The
net price you should pay for the bond is
118.58
.
Table 10-2 Bond calculation example
Keys
Display
Description
Table 10-3
Keys
Display
Description
]Oj
BOND CLR
(message flashes, then
disappears)
Clears bond memory.
V7V]Î
5.50
Inputs coupon rate as an annual%.
J:Y]Ë
104.00
Inputs call value.
J:J]Ñ
101.00
Inputs price.
Summary of Contents for 10bII+
Page 1: ...i HP 10bII Financial Calculator User s Guide HP Part Number NW239 90001 Edition 1 May 2010 ...
Page 3: ...iii HP 10bII Financial Calculator ...
Page 30: ...At a Glance 22 ...
Page 144: ...Statistical Calculations 136 ...
Page 183: ...Warranty Regulatory and Contact Information 9 ...
Page 184: ...Warranty Regulatory and Contact Information 10 ...