# YIELDDISC

YIELDDISC(settlement, maturity, price, redemption [,basis])

Returns the interest rate (annual) for a discounted security (no interest payments).

 settlement The settlement date of the security. maturity The maturity date of the security. price The price per \$100 face value. redemption The redemption value per \$100 face value. basis (Optional) The type of day counting to use.0 = 30/360 (default)1 = Actual/Actual2 = Actual/3603 = Actual/3654 = 30E/360

 REMARKS
 * The "settlement" date is the date a buyer purchases a coupon, such as a bond.* The "maturity" date is the date when a coupon expires. * The "redemption" value is the value of the security when it matures.* The "redemption" value is often referred to as the par value.* Dates must be entered as text strings with quotation marks or as serial numbers.* If "settlement" is not an integer, it is truncated.* If "settlement" is not a valid date, then #NUM! is returned.* If "maturity" is not an integer, it is truncated.* If "maturity" is not a valid date, then #NUM! is returned.* If "price" = 0, then #NUM! is returned.* If "redemption" = 0, then #NUM! is returned.* If "basis" is not an integer, it is truncated.* If "basis" < 0, then #NUM! is returned.* If "basis" > 4, then #NUM! is returned.* If "settlement" = "maturity", then #NUM! is returned.* An example of a discounted security is a US Treasury bill.* You can use the YIELD function to return the interest rate (annual) for a series of equal cash flows at regular intervals.* You can use the YIELDMAT function to return the interest rate (annual) for a security that pays interest at maturity.* For the Microsoft documentation refer to support.microsoft.com* For the Google documentation refer to support.google.com

 A 1 =YIELDDISC("1/07/2009", "1/07/2028", 65, 100, 0) = 2.834% 2 =YIELDDISC("1/07/2009", "1/07/2028", 65, 100, 1) = 2.834% 3 =YIELDDISC("1/07/2009", "1/07/2028", 65, 100, 2) = 2.793% 4 =YIELDDISC("1/07/2009", "1/07/2028", 65, 100, 3) = 2.832% 5 =YIELDDISC("1/07/2009", "1/07/2028", 65, 100, 4) = 2.834%

 1 - What is the yield of a 20-year treasury bill issued on January 1 2008, with a settlement date of July 1 2009 with a redemption value of \$65 and a price ratio of 100. The maturity date would therefore be January 1 2028 (issue date + 20 years).

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