Average Life Corrections - Monroe 3180 User Manual

ENTER
9.0108
95
The schedule is complete, enter the final maturity date (the remaining bonds are accumulated using the
date) and calculate the average life in decimal years and the date of average maturity.
ENTER
3.0109
Calculate the average yield to average life.
ENTER
80.7

AVERAGE LIFE CORRECTIONS

To correct data stored for a group before pressing the AVG LIFE key, reenter the correct value on the
appropriate key.
Corrections for groups of bonds which have been entered using the AVG LIFE key can be made by
entering the beginning and ending dates for the group in question, setting the COUPON PER YEAR key
to the coupon payment frequency, keying in the number of bonds to be deleted or added and press the
AVG LIFE key. After corrections are made, re-enter the final maturity date on MAT DATE END and
recalculate the correct average life (DISPLAY, AVG LIFE).
Remember, calculating the average life changes the ending date ( MAT DAT END key) to the date of the
average maturity and subsequent depressions of DISPLAY, AVG life will compute incorrect results using
the average maturity date as the end date.
PRESS RESULTS DISPLAYED
MAT Maturity Date Mon.
DATE
END
AVG 4,270 Bonds Remaining
LIFE
PRESS RESULTS DISPLAYED
MAT Maturity Date 03-01-2009
DATE
END
DISPLAY Avg Life 19.943 Years 06-02-2007
AVG
LIFE
DISPLAY Maturity Date Sat.
MAT
DATE
END
PRESS RESULTS DISPLAYED
TO Yield 8.529% (M)
YIELD
MONROE TRADER II
09-01-2008
06-02-2007
41