Скачать или смотреть How to use the Financial Functions TBILLEQ, TBILLPRICE, TBILLYIELD

In this lesson we will talk about the treasury bill functions of Excel.
These are TBILLEQ. TBILLPRICE and TBILLYIELD.
Treasure bill are short term obligations backed by a government with a maturity date of equal to or less than one year after the settlement day.
The settlement day is the date the duration of the bill starts and maturity date when it ends.
They are offered at a discount rate of their market value. At the end of their duration the investor gets back the full market value of the bill, thus earning the difference.
As interest of a Treasury Bill is the discount rate so it is calculated as a percentage of its final value.
In our Example, we bought a 10000 dollars’ bill at a discount rate of 10% thus we paid 9000 dollars. So the interest rate of the bill is 10%.
But any other bond or security calculate the interest rate of an investment as percentage of the initial investment, in our case the 9000 dollars.
The need to compare other bonds to the bills gave birth to these 3 excel functions.
One function was needed to calculate the yield of the bill as a percentage of the initial investment.
One to provide us with the price, per 100$ face value of a bill. This means the price we paid for each 100$ of the bill.
And one to calculate the bond equivalent yield of the bill.
Let’s learn how we can use these three functions ourselves.
On this sheet we have the information of a 3-Month Treasury bill.
The settlement date, the maturity date and the discount rate.
We will calculate first the price per 100$ of the bill.
We select cell B5 and type the name of the function (TBILLPRICE), and enclosed in parenthesis we select all the arguments (Settlement date, maturity date, discount rate). We have the result which is the amount we paid in 1/1/2016 for each 100$ of our investment. Since we bought a 100$ bill, we paid for it 97.53 dollars.
The yield of this investment will be calculated in cell B6. We type the name of the function TBILLYIELD, along with the required arguments. (settlement, maturity and price per 100$)
If we need to compare this bill to a bond investment, we have to calculate the bond equivalent yield of our treasury bill.
So in cell B7 we type the function TBILLEQ with the proper arguments. (settlement, maturity, rate)