Periodic yield - Revision history

imported>Doug Williamson: Layout.

2020-05-15T21:07:29Z

Layout.

2018-02-21T11:36:47Z

Categorise.

← Older revision		Revision as of 11:36, 21 February 2018
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	[[Media:2013_09_Sept_-_Simple_solutions.pdf\| Simple solutions - converting between yields, The Treasurer]]		[[Media:2013_09_Sept_-_Simple_solutions.pdf\| Simple solutions - converting between yields, The Treasurer]]

			[[Category:Corporate_financial_management]]
			[[Category:Cash_management]]

2016-12-14T12:15:58Z

Update.

← Older revision		Revision as of 12:15, 14 December 2016
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	''Rearranging this relationship:''		''Rearranging this relationship:''

	1 + r = (End / Start) -1		1 + r = (End / Start)


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	''Check:''		''Check:''

	Amount at ~~start~~ = 0.97 x 1.030928 = 1.00, as expected.		Amount at end = 0.97 x 1.030928 = GBP 1.00m, as expected.

2016-12-14T12:03:29Z

Mend broken mathtype equations.

← Older revision		Revision as of 12:03, 14 December 2016
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	~~The~~ periodic yield (r) is:		As before, the periodic yield (r) is:

	r = ~~<math>\frac{~~End}{Start~~}</math>~~ - 1		r = (End / Start) - 1

			= (1.00 / 0.97) - 1
	= ~~<math>\frac{~~1.00}{0.97~~}</math>~~ - 1

	= 0.030928		= 0.030928
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	''Check:''		''Check:''

	Amount at end = 0.97 x 1.030928 = 1.00, as expected.		Amount at end = 0.97 x 1.030928 = GBP 1.00m, as expected.


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	'''''Solution'''''		'''''Solution'''''

	~~The~~ periodic yield (r) is ~~defined as~~:		As before, the periodic yield (r) is:

	r = ~~<math>\frac{~~End}{Start~~}</math>~~ - 1		r = (End / Start) - 1


	''Rearranging this relationship:''		''Rearranging this relationship:''

	1 + r = ~~<math>\frac{~~End}{Start~~}</math>~~		1 + r = (End / Start) -1


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	'''''Solution'''''		'''''Solution'''''

	As before, the periodic yield (r) is ~~defined as~~:		As before, the periodic yield (r) is:

			r = (End / Start) - 1

	~~r = <math>\frac{End}{Start}</math> - 1~~


	''Rearranging this relationship:''		''Rearranging this relationship:''

	1 + r = ~~<math>\frac{~~End}{Start~~}</math>~~		1 + r = (End / Start)


	Start = ~~<math>\frac{~~End}{(1 + r)~~}</math>~~		Start = End / (1 + r)


	''Substitute the given data into this relationship:''		''Substitute the given data into this relationship:''

	Start = ~~<math>\frac{1.00}{~~(1 + 0.030928)~~}</math>~~		Start = End / (1 + 0.030928)

2016-12-14T11:58:44Z

Mend broken mathtype equations.

← Older revision		Revision as of 11:58, 14 December 2016
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	r = (End amount / Start amount) - 1		r = (End amount / Start amount) - 1

	Which can also be expressed as:		''Which can also be expressed as:''

	r = (End / Start) - 1		r = (End / Start) - 1

	~~''or''~~		= (1.03 / 1.00) - 1

	r = ~~<math>\frac{End}{Start}</math> - 1~~


	~~= <math>\frac{~~1.03}{1~~}</math>~~ - 1

	= 0.03		= 0.03

2016-12-13T16:07:45Z

Layout.

2016-12-13T16:06:55Z

Update.

← Older revision		Revision as of 16:06, 13 December 2016
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	== Other resources ==		== Other resources ==
	[[Media:2016_02_Feb_-_Many_happy_returns.pdf\| Many happy returns - calculating and applying interest rates and yields, The Treasurer]]		[[Media:2016_02_Feb_-_Many_happy_returns.pdf\| Many happy returns - calculating and applying interest rates and yields, The Treasurer]]

	[[Media:2013_09_Sept_-_Simple_solutions.pdf\| Simple solutions - converting between yields, The Treasurer]]		[[Media:2013_09_Sept_-_Simple_solutions.pdf\| Simple solutions - converting between yields, The Treasurer]]

2016-12-13T16:06:27Z

Add link.

← Older revision		Revision as of 16:06, 13 December 2016
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	==Other resources==
	[[Media:2013_09_Sept_-_Simple_solutions.pdf\| The Treasurer ~~students, Simple solutions~~]]

			== Other resources ==
			[[Media:2016_02_Feb_-_Many_happy_returns.pdf\| Many happy returns - calculating and applying interest rates and yields, The Treasurer]]
			[[Media:2013_09_Sept_-_Simple_solutions.pdf\| Simple solutions - converting between yields, The Treasurer]]

2015-12-02T11:34:32Z

Update headers.

← Older revision		Revision as of 11:34, 2 December 2015
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	==Calculating periodic yield from start and end ~~amounts~~==		==Calculating periodic yield from start and end cash==
	Given the cash amounts at the start and end of an investment or borrowing period, we can calculate the periodic yield.		Given the cash amounts at the start and end of an investment or borrowing period, we can calculate the periodic yield.

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	==Calculating end ~~amount~~ from periodic yield==		==Calculating end cash from periodic yield==
	We can also work this relationship in the other direction.		We can also work this relationship in the other direction.

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	==Calculating start ~~amount~~ from periodic yield==		==Calculating start cash from periodic yield==
	We can also work the same relationship reversing the direction of time travel.		We can also work the same relationship reversing the direction of time travel.

2015-12-02T11:27:27Z

Minor spacing changes

← Older revision		Revision as of 11:27, 2 December 2015
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	Amount at end = 0.97 x 1.030928 = 1.00, as expected.		Amount at end = 0.97 x 1.030928 = 1.00, as expected.


	==Calculating end amount from periodic yield==		==Calculating end amount from periodic yield==