Financial
PRICE function: calculate clean bond price per $100 face value
Value fixed-coupon bonds between coupon dates using PRICE, accounting for settlement, maturity, coupon frequency, and day-count basis.
Clean price vs dirty price on coupon securities
PRICE(settlement, maturity, rate, yld, redemption, frequency, [basis]) calculates the clean bond price per $100 of face value (present value of cash flows minus accrued interest).
When coupon rate (5.0%) exceeds yield to maturity (4.5%), the bond trades at a premium above 100.
=ROUND(PRICE(B2, B3, B4, B5, B6, B7, B8), 4)Try the example
Use the original values or change them to test your understanding.