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Section 4: Additional Financial Functions 83
File name: hp 12c pt_user's guide_English_HDPMF123E27 Page: 83 of 275
Printed Date: 2005/8/1 Dimension: 14.8 cm x 21 cm
In ALG mode, perform the steps listed for RPN mode above but replace the last
step with the step below.
Keystrokes
(ALG mode)
Display
+~}
123.07
Total price, including accrued
interest.
Bond Yield
1. Enter the quoted price (as a percent of par), using $.
2. Enter the annual coupon rate (as a percentage), using P.
3. Key in the settlement (purchase) date, then press \.
4. Key in the maturity (redemption) date.
5. Press fS.
The yield to maturity is shown in the display and also is stored in the i register.
Note: Remember that the fS function may take a significant amount of
time to produce an answer, during which the calculator displays running.
Example:
The market is quoting 122.125% for the bond described in the
preceding example. What yield will that provide
?
Keystrokes Display
122.125
$
122.13
Enters quoted price.
6.75
P
6.75
Enters coupon rate.
4.282004
\
4.28
Enters settlement (purchase) date.
6.042018
6.042018
Enters maturity (redemption) date.
fS
4.60
Bond yield.
After solving a bond problem, the FV register contains the redemption value plus
the annual coupon rate percentage divided by two, and the n register contains the
days from settlement date to the next coupon date divided by the number of days
in the coupon period in which settlement occurs.