frPricing {bondAnalyst} R Documentation

## Calculates Bond Price using the Forward Rate Input.

### Description

Calculates Bond Price using the Forward Rate Input.

### Usage

frPricing(cpns, fri, mv, n)


### Arguments

 cpns A vector. fri A vector. mv A number. n A number.

### Details

According to information provided by Adams and Smith (2019), the method frPricing() is developed to compute the Bond Price using the Forward Rate Input. If 0y1y is 1.88 percent, 1y1y is 2.77 percent and 2y1y is 3.54 percent then the bond price works out to be 102.965 dollars. Here, cpns is vector of coupon Payments for three years,fri is a vector of that contains three values that serve as forward rate input factor,mvis maturity Value, and n is number of years that is 3 years.

### Value

Input values to four arguments cpns ,fri, mv and n.

### 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

frPricing(cpns=c(3.75,3.75,3.75),fri=c((1.0188),(1.0188*1.0277),(1.0188*1.0277*1.0354)),mv=100,n=3)


[Package bondAnalyst version 1.0.1 Index]