bondPriceExcessCoupon {bondAnalyst} R Documentation

## Calculates the Price of Bond making Excess Coupon Payments.

### Description

Calculates the Price of Bond making Excess Coupon Payments.

### Usage

bondPriceExcessCoupon(couponExcess, times, r)


### Arguments

 couponExcess A vector. times A vector. r A number.

### Details

For Example, if the present value of excess is +7.260, discounted using the required yield per period, then the price of the bond is 107.260 (= 100 + 7.260)(Adams & Smith, 2019). Based on the information presented, the method bondPriceExcessCoupon() is developed to compute the Price of Bond making excess Coupon Payments. So, bondPriceExcessCoupon() gives the Price of Bond making excess Coupon Payments for values passed to its three arguments. Here, couponExcess represents the dollar value of excess coupon payments, times is a vector of number of years ranging from 1 to any specified number of years till maturity, and r is Market Discount Rate or Required Rate of return. The output is rounded off to three decimal places. The given examples show various ways in which the arguments can be passed to bondPriceExcessCoupon().

### Value

Input values to three arguments couponExcess , times and r.

### 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 bondPriceExcessCoupon(couponExcess=c(2,2,2,2), times=c(1,2,3,4), r= 0.04) bondPriceExcessCoupon(couponExcess=c(2,2,2,2), times=c(1:4), r= 0.04) bondPriceExcessCoupon(couponExcess=c(rep(2,4)), times=c(1:4), r= 0.04) bondPriceExcessCoupon(c(rep(2,4)), c(1:4), 0.04)

[Package bondAnalyst version 1.0.1 Index]