Texas Instruments BA II Plus User Manual

4: Bond Worksheet 79
Bond Price and Accrued Interest Example
You want to purchase a semiannual corporate bond that
matures on 12/31/97 to settle on 6/12/96. The bond is based on
the 30/360 day-count method with a coupon rate of 7%. It will be
redeemed at 100% of its par value. For an 8% yield to maturity,
compute the bond’s price and the accrued interest.
Example: Entering Bond Data
Procedure Keystrokes Display
Set all variables to defaults.
& } !
RST 0.00
Select Bond worksheet.
& l
SDT = 12-31-1990

Enter settlement date.
6.1296
!
SDT = 6-12-1996

Enter coupon rate.
#
7
!
CPN = 7.00

Enter redemption date.
#
12.3197
!
RDT = 12-31-1997

Leave redemption value as is.
#
RV = 100.00
Example: Computing Bond Price and Accrued Interest
(continued from previous example)
Select 30/360 day-count
method.
# & V
360
Leave two coupon payments
per year.
# & V
2/Y
Enter yield.
#
8
!
YLD = 8.00

Compute price
# %
PRI = 98.56

View accrued interest.
#
AI = 3.15

For an 8% yield to maturity, the price of the bond is $98.56 per
100 and the accrued interest is $3.15 per 100.

Texas Instruments BA II Plus Specifications

General

Type	Financial
Cover	-
Form factor	Pocket
Control type	Buttons
Product color	Black
Digits	10 digits
Display tilting	No
Display number of lines	1 lines
Memory registers	10
Power source	Battery