Accrued interest rate of a bond formula
Financial acronyms
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Description of the Accrued interest rate of a bond formula
Formula for the calculation of a bond's accrued interest rate.
Formula
\[ CC=CN \cdot \frac {nbj_{pcd \to vd}} {nbj_{pcd \to ncd}} \ \]
Symbols
\(CN\ \)
Nominal coupon rate
\(nbj_{pcd→ncd}\ \)
Number of days between the last coupon date and the next coupon date
\(nbj_{vd→ncd}\ \)
Number of days between the value date and the next coupon date