yield

The previous videos in this playlist have illustrated how we calculate the two most popular measures of single factor interest rate sensitivity, that is duration and dv01, also called price value of the basis point. Now, knowing how these calculations work we will apply them to understand some...

There are two ways to price a bond with the calculator: using the built-in bond worksheet, or using the time value of money (TVM) functions (i.e., N, I/Y, PV, PMT, and FV). This video shows you how to use the set of TVM to quickly find the price or yield of a bond. Notice that the approach is...