BAFullInstructions0

# Yield given price with more than one coupon period to

This preview shows page 1. Sign up to view the full content.

This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: ndix A: Reference Information Statistics (Formulas apply to both x and y.) Standard deviation with n weighting ( x): ( ∑ x)2 1/ 2 ∑ x2 − n n Standard deviation with n 1 weighting (s x): ( ∑ x)2 1/ 2 ∑ x2 − n n −1 Mean: x = ( ∑ x) n Linear Regression Formulas apply to all regression models using transformed data. b= a= r= n( ∑ xy ) − ( ∑ y )( ∑ x ) n( ∑ x 2) − ( ∑ x ) 2 (∑ y − b ∑ x) n bσx σy Interest Rate Conversions EFF = 100 × (e C / Y where: x = .01 × ln ( x + 1) − 1) NOM P CàY NOM = 100 × C / Y × (e1 ÷ C / Y where: x = .01 × ln( x + 1) − 1) EFF Appendix A: Reference Information 77 Percentage of Change %CH # PD NEW = OLD 1 + 100 where: OLD NEW %CH #PD = old value = new value = percent change = number of periods Profit Margin Gross Profit Margin = Selling Price − Cost × 100 Selling Price Breakeven PFT = P Q − ( FC + VC Q) where: PFT P FC VC Q = profit = price = fixed cost = variable cost = quantity Days between Dates With the Date worksheet, you can enter or compute a date within the range January 1, 1950, through December 31, 2049. 78 Appendix A: Reference Information Actual/actual day-count method (assumes actual number of days per month and actual number of days per year): DBD (days between dates) = Number of days II Number of days I Number of Days I = (Y1 YB) 365 + (number of days MB to M1) + DT1 (Y 1 − YB) + 4 Number of Days II= (Y2 YB) 365 + (number of days MB to M2) + DT2 (Y 2 − YB) + 4 where: M1 DT1 Y1 M2 DT2 Y2 MB DB YB = month of first date = day of first date = year of first date = month of second date = day of second date = year of second date = base month (January) = base day (1) = base year (first year after leap year) 30/360 day-count method (assumes 30 days per month and 360 days per year): DBD = (Y 2 − Y 1) × 360 + ( M 2 − M 1) × 30 + ( DT 2 − DT 1) where: M1 DT1 Y1 M2 DT2 Y2 = month of first date = day of first date = year of first date = month of second date = day of second date = year of second date Note: If DT1 is 31, change DT1 to 30. If DT2 is 31 and DT1 is 30 or 31, change DT2 to 30; otherwise, leave it at 31. Source for 30/360 day-count method formula: Lynch, John J., Jr., and Jan H. Mayle. Standard Securities Calculation Methods. New York: Securities Industry Association, 1986. Appendix A: Reference Informatio...
View Full Document

{[ snackBarMessage ]}

Ask a homework question - tutors are online