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Discounted Security

A security is a tradable financial asset. A discounted security's rate is based on the redemption value rather than the price.

The settlement price of a discounted security equals the redemption value times 1 minus the rate of discount times the years from settlement to maturity.

Formula

QuantityVariable["P", "Money"] == (1 - QuantityVariable["d", "Unitless"]*QuantityVariable[Subscript["t", "SM"], "Unitless"])*QuantityVariable[Subscript["V", "r"], "Money"]

symbol description physical quantity
P settlement price "Money"
d rate of discount "Unitless"
tSM years from settlement to maturity "Unitless"
Vr redemption value "Money"

Forms

Examples

Get the resource:

In[1]:=
ResourceObject["Discounted Security"]
Out[1]=

Get the formula:

In[2]:=
FormulaData[ResourceObject["Discounted Security"]]
Out[2]=

Use some values:

In[3]:=
FormulaData[ ResourceObject[ "Discounted Security"], {QuantityVariable["d","Unitless"] -> None, QuantityVariable[ \!\(\*SubscriptBox[\("t"\), \("SM"\)]\),"Unitless"] -> None}]
Out[3]=

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