Owner's Manual

Table Of Contents
56 Bond Worksheet
2. Key in a value for YLD and press !.
3. Press # to display PRI, and then press C. The calculator displays the
computed PRI value.
Computing the Bond Yield (YLD)
1. Press # until
PRI appears.
2. Key in a value for PRI and press !.
3. Press # to display YLD, and then press C. The calculator displays the
computed YLD value.
Computing Accrued Interest (AI)
To compute accrued interest, press # until the
AI variable appears. The
calculator automatically computes AI in terms of dollars per $100 of par value.
Example: Computing Bond Price and Accrued Interest
You consider buying a semiannual corporate bond maturing on December 31,
2005 and settling on June 12, 2004. The bond is based on the 30/360 day-
count method with a coupon rate of 7%, redeemable at 100% of par value. For
an 8% yield to maturity, compute the bond’s price and accrued interest.
Computing Bond Price and Accrued Interest
To Press Display
Select Bond worksheet. & l
SDT = 12-31-19901
Enter settlement date.
6.1206 !
SDT = 6-12-20061
Enter coupon rate. #
7 !
CPN = 7.001
Enter redemption date.
#
12.3107
!
RDT = 12-31-20071
Leave redemption value
as is.
#
RV = 100.00
Select 30/360 day-count
method.
# & V
360
Leave two coupon
payments per year.
#
2/Y