aiRoundedDaysConv {bondAnalyst} | R Documentation |

## Calculates the accrued interest with 30-by-360, day convention.

### Description

Calculates the accrued interest with 30-by-360, day convention.

### Usage

```
aiRoundedDaysConv(cPmt, bfrStlDt, stlDt, elpsMnths, daysBtwnCpns)
```

### Arguments

`cPmt` |
A number. |

`bfrStlDt` |
A character. |

`stlDt` |
A character. |

`elpsMnths` |
A number. |

`daysBtwnCpns` |
A number. |

### Details

There are different conventions used in bond markets to count days for valuation purposes. The two most common day-count conventions are actual-by-actual and 30-by-360. The 30-by-360 day-count convention often is used on corporate bonds. It assumes that each month has 30 days and that a full year has 360 days. Therefore, for this method, there are assumed to be 42 days between 15 May and 27 June: 15 days between 15 May and 30 May and 27 days between 1 June and 27 June. There are assumed to be 180 days (for being used as days between two semi-annual coupon payments) in the six-month period between 15 May and 15 November. So, the accrued interest at a 4.375 percent, for a semi-annual payment corporate bond is 0.510417 per 100 of par value (Adams & Smith, 2019).
Based on this, the method `aiRoundedDaysConv()`

is developed to compute the accrued interest with 30-by-360 day convention. So, `aiRoundedDaysConv()`

gives accrued interest with 30-by-360 day convention for values passed to its five arguments. Here, `cPmt`

is dollar value of Coupon Payment, `bfrStlDt`

is date of interest payment before settlement date, `stlDt`

is Settlement Date, `elpsMnths`

denotes number of months elapsed from day of last coupon payment to the `bfrStlDt`

(so in this example number of months from last coupon payment to June 15, 2019), and `daysBtwnCpns`

denotes number of days between two coupon payments. The output is rounded off to six decimal places.

### Value

Input values to four arguments `cPmt`

, `bfrStlDt`

`stlDt`

and `elpsMnths`

.

### Author(s)

MaheshP Kumar, maheshparamjitkumar@gmail.com

### References

Adams,J.F. & Smith,D.J.(2019). Introduction to fixed-income valuation. In CFA Program Curriculum 2020 Level I Volumes 1-6. (Vol. 5, pp. 107-151). Wiley Professional Development (P&T). ISBN 9781119593577, https://bookshelf.vitalsource.com/books/9781119593577

### Examples

```
aiRoundedDaysConv(4.375, as.Date("2019-6-15"), as.Date("2019-6-27"),1,180)
```

*bondAnalyst*version 1.0.1 Index]