Overview

In this module, you will learn how to calculate accrued interest on a bond, how T-bills have their prices quoted differently from T-notes and T-bonds, how to use Excel to help calculate bond prices and yields, and three other types of Treasury debt: TIPS (Treasury Inflation Protected Securities), FRNs (Floating Rate Notes), and Treasury Strips.

Module Objectives

In this module, the activities, content, and assignments will guide your learning process to ensure you can:

Calculate the accrued interest and invoice price for a bond
Use Excel for basic bond calculations
Calculate the Price, BEY, and Yield on a Discount Basis of a T-bill
Calculate the price and yield of a Treasury Strip
Explain how a Fixed Rate Note is different from other Treasury instruments

Module To-Do List

Here's everything you need to do and remember for this module:

Turn in Assignment 1 prior to the start of the Live Session
Read Chapters 2 and 3 in the text
Watch the recorded videos for the week with the class notes and Excel spreadsheet in front of you
Attend the Live Session ready to learn