The “dirty price” of a bond is the price including accrued interest.
only pays interest one time).
Date configuration
By default, ACCRINTM will calculate accrued interest from the issue date to thesettlement date.
The issue date is 5-Apr-2016, the settlement date is 1-Feb-2019, and maturity date is 15-Apr-2026.
We want accrued interest from theissuedate to the settlementdate.
Entering dates
In Excel,dates are serial numbers.
To enter valid dates directly inside a function, you’ve got the option to use theDATE function.
To illustrate, the formula below has all values hardcoded.
The ACCRINTM function allows 5 options (0-4) and defaults to zero, which specifies US 30/360 basis.
Thisarticle on wikipediaprovides a detailed explanation of available conventions.
