﻿ TBILLEQ function

TBILLEQ function

Returns the bond-equivalent yield for a Treasury bill.

Syntax

TBILLEQ(settlement,maturity,discount)

Important   Dates should be entered by using the DATE function, or as results of other formulas or functions. For example, use DATE(2008,5,23) for the 23rd day of May, 2008. Problems can occur if dates are entered as text.

Settlement     is the Treasury bill's settlement date. The security settlement date is the date after the issue date when the Treasury bill is traded to the buyer.

Maturity     is the Treasury bill's maturity date. The maturity date is the date when the Treasury bill expires.

Discount     is the Treasury bill's discount rate.

Remarks

• Microsoft Office Excel stores dates as sequential serial numbers so they can be used in calculations. By default, January 1, 1900 is serial number 1, and January 1, 2008 is serial number 39448 because it is 39,448 days after January 1, 1900. Microsoft Excel for the Macintosh uses a different date system as its default.

• Settlement and maturity are truncated to integers.

• If settlement or maturity is not a valid date, TBILLEQ returns the #VALUE! error value.

• If discount ≤ 0, TBILLEQ returns the #NUM! error value.

• If settlement > maturity, or if maturity is more than one year after settlement, TBILLEQ returns the #NUM! error value.

• TBILLEQ is calculated as TBILLEQ = (365 x rate)/(360-(rate x DSM)), where DSM is the number of days between settlement and maturity computed according to the 360 days per year basis.

Example

The example may be easier to understand if you copy it to a blank worksheet.

How to copy an example

1. Create a blank workbook or worksheet.

2. Select the example in the Help topic.

Note   Do not select the row or column headers.

Selecting an example from Help

3. Press CTRL+C.

4. In the worksheet, select cell A1, and press CTRL+V.

5. To switch between viewing the results and viewing the formulas that return the results, press CTRL+` (grave accent), or on the Formulas tab, in the Formula Auditing group, click the Show Formulas button.

 1 2 3 4
 A B Data Description March 31, 2008 Settlement date June 1, 2008 Maturity date 9.14% Percent discount rate Formula Description (Result) =TBILLEQ(A2,A3,A4) The bond equivalent yield, for the Treasury bill with the terms above (0.094151 or 9.42%)

Note   To view the number as a percentage, select the cell, and then on the Sheet tab, in the Number group, click Percent Style .

Applies To: Excel 2007

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