| BondPrice2Step() function | |
BondPrice2Step() functionBondPrice2Step(argument list…)
This function returns a bond's "flat" price (i.e. price without accrued interest) from yield for a bond with a 2-step coupon. The function uses the following arguments:
| Argument | Description | Restrictions |
| Settlement_Date | bond settlement date | valid Excel date number |
| Stepped_Coupon_Date | date at which the bond coupon changes | valid Excel date number > Settlement_Date |
| Maturity_Date | bond maturity date | valid Excel date number > Settlement_Date > Stepped_Coupon_Date |
| First_Coupon_Rate | annual bond coupon to the Stepped_Coupon_Date in decimal form (e.g. six percent entered as 0.06) | >= 0 |
| Second_Coupon_Rate | annual bond coupon after the Stepped_Coupon_Date in decimal form | >= 0 |
| YTM | bond yield to maturity in decimal form | >= 0 |
| Redemption | bond's redemption value per $100 par | > 0 (typically 100) |
| Frequency | number of bond coupons per annum (in the case of zero coupon bonds, indicates the compounding frequency) | 1, 2, 4, or 12 |
| DCB | day count basis | 0 = 30/360 (US) 1 = act/act for CAD/US T-Bonds 2 = act/360 3 = act/365 4 = 30/360 (European) |
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