Calculate the price of a bond based on face value, coupon rate, interest rate, and duration. Bond Pricing tool for financial analysis.

Bond Pricing

Purpose

The Bond Pricing function calculates the price of a bond based on the input values provided by the user.

Use Cases

• Determining the current market price of a bond
• Evaluating the value of a bond for investment purposes

How to Use

1. Enter the required input values in the respective fields.
2. Click on the "Calculate" button to get the Bond Price.

Input Values

1. Face Value: The face value of the bond (default unit is dollar).
2. Coupon Rate: The annual interest rate of the bond (default unit is percentage per year).
3. Interest Payment Interval: The frequency of interest payments (default unit is half year).
4. Duration: The time period until the bond matures (default unit is year).
5. Interest Rate: The prevailing interest rate (default unit is percentage per year).

Output Values

1. Bond Price: The calculated price of the bond (unit is dollar).

Any other Instruction

• Make sure to input all values accurately for correct results.
• Review the calculated Bond Price carefully.

Steps of Calculation

1. Calculate the coupon rate value.
2. Calculate the interest rate value.
3. Determine the number of periods.
4. Calculate the bond price using the provided formula.

Technical Parameter names

face_value, coupon_rate, interest_payment_interval, duration, interest_rate

Return Values

Bond Price

Example Expressions

You can use the following expressions to directly evaluate in a non-interactive manner using eval().

bond(face_value=1200, coupon_rate='4 pct/yr', interest_payment_interval='quarter', duration='3 yr', interest_rate='2 pct/yr')

bond(face_value=1500, coupon_rate='6 pct/yr', interest_payment_interval='year', duration='5 yr', interest_rate='4 pct/yr')

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