Formulas and Functions

Related Topics
For related functions and additional information, see:
“DB” on page 114
“DDB” on page 116
“SLN” on page 147
“SYD” on page 148
“Common Arguments Used in Financial Functions” on page 341
“Listing of Financial Functions” on page 96
“Value Types” on page 36
“The Elements of Formulas” on page 15
“Using the Keyboard and Mouse to Create and Edit Formulas” on page 26
“Pasting from Examples in Help” on page 41
YIELD
The YIELD function returns the eective annual interest rate for a security that pays
regular periodic interest.
YIELD(settle, maturity, annual-rate, price, redemption, frequency, days-basis)
 settle: The trade settlement date. settle is a date/time value. The trade settlement
date is usually one or more days after the trade date.
 maturity: The date when the security matures. maturity is a date/time value. It must
be after settle.
 annual-rate: The annual coupon rate or stated annual interest rate of the security.
annual-rate is a number value and is either entered as a decimal (for example, 0.08)
or with a percent sign (for example, 8%).
 price: The cost of the security per $100 of par value. price is a number value.
 redemption: The redemption value per $100 of par value. redemption is a number
value that must be greater than 0. redemption is the amount that will be received
per $100 of face value. Often, it is 100, meaning that the security’s redemption value
is equal to its face value.
 frequency: The number of coupon payments each year.
annual (1): One payment per year.
semiannual (2): Two payments per year.
quarterly (4): Four payments per year.
15 0 Chapter 6 Financial Functions