Security Codes 2 - 4 - Monroe 3180 User Manual

Security Codes 2, 3 and 4 is used to calculate notes paying interest at maturity. Notes may be calculated
based on three different day count basis according to the code entered:
Entries describing a note are the same for Security Code 0. The interest rate us entered using the
coupon key and the issue date on the issue/dated key. The price is calculated to 6 or 3 places depending
on the setting of the FED/MUNI switch. In MUNI mode three decimal places are calculated, in
accordance with rules for municipal notes. The FED mode is used when six decimal places are required.
Refer to Appendix B for a more complete list of securities and the day count basis.
EXAMPLE: A Municipal Note (Coed 2 – 30/360 calendar) is sold on May 8, 1982 to yield 10.5% The
issue date is May 1, 1987 and the interest rate is 11%. Maturity is on May 1, 1991. Calculate the price.
ENTER
2
6.2487
Set the FED/MUNI switch and status line as follows:
FED/MUNI SWITCH to MUNI
ENTER
5.0187
5.0191
11
10.5
Calculate the yield of the previous note, if the price is 100.50
ENTER
100.5
SECURITY CODES 2 – 4
CODE
2
3
4
PRESS
CODE
SETTTLEMENT
DATE
PRESS
ISSUE/
DATED
MAT
DATE
END
COUPON
TO
PRICE
PRESS
TO
YIELD
DAY COUNT
30/360
Actual/360
Actual/365
RESULTS DISPLAYED
Security Code 2.
Settlement Date Wed. 06-24-1987
C=2 MAT 30/360 SEMI 06-24-87 MATURITY
RESULTS DISPLAYED
Iss/Dated Date Fri.
Maturity Date Wed.
Coupon Rate 11.000%
Price 100.0-5 (M)
RESULTS DISPLAYED
Yield 10.645%
MONROE TRADER II
05-01-1987
05-01-1991
27