WorksheetFunction.Disc(Object, Object, Object, Object, Object) Method

Definition

Namespace:

Microsoft.Office.Interop.Excel

Assembly:

Microsoft.Office.Interop.Excel.dll

Returns the discount rate for a security.

public double Disc (object Arg1, object Arg2, object Arg3, object Arg4, object Arg5);

Public Function Disc (Arg1 As Object, Arg2 As Object, Arg3 As Object, Arg4 As Object, Optional Arg5 As Object) As Double

Parameters

Arg1

Object

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

Arg2

Object

Maturity - the security's maturity date. The maturity date is the date when the security expires.

Arg3

Object

Pr - the security's price per $100 face value.

Arg4

Object

Redemption - the security's redemption value per $100 face value.

Arg5

Object

Basis - the type of day count basis to use.

Returns

Double

Remarks

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.

Microsoft 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.

The settlement date is the date a buyer purchases a coupon, such as a bond. The maturity date is the date when a coupon expires. For example, suppose a 30-year bond is issued on January 1, 2008, and is purchased by a buyer six months later. The issue date would be January 1, 2008, the settlement date would be July 1, 2008, and the maturity date would be January 1, 2038, 30 years after the January 1, 2008, issue date.

Settlement, maturity, and basis are truncated to integers.

If settlement or maturity is not a valid serial date number, Disc returns the #VALUE! error value.

If pr ≤ 0 or if redemption ≤ 0, Disc returns the #NUM! error value.

If basis < 0 or if basis > 4, Disc returns the #NUM! error value.

If settlement ≥ maturity, Disc returns the #NUM! error value.

Disc is calculated as follows:

Figure 1: Equation for calculating Disc method

where:

B = number of days in a year, depending on the year basis.

DSM = number of days between settlement and maturity.