Coupon Rate and Current Yield?

Coupon Rate and Current Yield?

Coupon Rate and Current Yield?


The coupon rate is just $80/$1,000 = 0.08 or 8% of the face value. The yield is the IRR of the cash flow. Given that the coupons are fixed amounts at a regular interval you can simplify the IRR with the summation of a geometric sequence equation such that the rate R satisfied the following equation: $900 = $80 * { summation of the term (1/R)^k for k = 1 to 20 } + $1,000 / R^20 .: $900 = $80 * ( ( 1 - 1/R^21 ) / ( 1 - 1/R ) - 1 ) + $1,000 / R^20 This is a 21st order roots of a polynomial problem so it has be solved iteratively, perhaps by Newton Raphson, Secant method or just by a binary tree. Excel also has an =IRR() function if you don't mind typing in -900, followed by 19 cells of the value 80 and one cell with the value of 1080. For this case it's R = 1.0910356 therefore the yield to two decimal points in percentage is 9.10% per annum.



Popular Q&A

Where should i go in Vegas? Family ?
- I've haven't seen any Hooka bars on the strip. You will probably have to rent a car and go to the more local parts of the city. However, don't count on them to be a "family thing" to do unless everyone is 18 or older. Google "Hookah Lounges Las Vegas

Brita Water Bottle Coupons?
$5 coupon for Brita and a $2 coupon for Brita filters. Brita Coupon Link: Click Here to Print the Brita Coupon Expiration: Depends on when the coupon is printed. Requirements: Completing a long registration form is required. Note: If the coupon link...

Where can I get free nail polish?
They have it for 99 cents at your dollar store even though its crappy. Besides a bottle is about two bucks and you can even get a coupon on nail polish.

Does anyone know where I could print the Off 5th Saks coupon for 30% off single item?
Here you go! I've been searching for this coupon myself but just found it. Enjoy. B.

Best massage parlour in delhi?
Our massage parlor coupons are your ticket for the best massage in town. Massage is important for your health, as well as for your relaxation. Get all the good benefits with our massage parlor coupons and feel much better .... Delhi/NCR.