Zero-Coupon Bond Price
The Zero-Coupon Bond Price calculation lets you calculate the purchase price and the market quote of a zero-coupon bond.
Input
| • required yield | |
| • compounding frequency | |
| • settlement date | |
| • redemption date | |
| • redemption value |
Results
| • purchase price |
| • market quote |
Example
| • | What
is the price of a zero-coupon bond on June 1, 2005, if it matures at $1,000
on August 1, 2010, and the required yield is 9.4 %?
Answer: $622.13. |
Related topics
| Bond features |
| Bond pricing issues |
| Bond yield measures |
| Bond Book Value |
| Bond Price |
| Equivalent Rates |