YTM - HP 12c calc

CFA Level I
#1

Hi, Can someone show me to how to calculate YTM using HP 12c Platinum financial calculator? Thanks.

#2

oops…maybe i should’ve put in some information that might help. Consider a 20yr, $1000 par value bond, with a 6% coupon rate (semiannual payments) with a full price $802.07. Calculate the YTM. Thanks.

#3

i know how to calculate it now. thanks for reading anyway

#4

Hi, Cloud you please show me how to calculate it? Many Thanks

#5

dandouf Wrote: ------------------------------------------------------- > Hi, > > Cloud you please show me how to calculate it? > > Many Thanks n = 40 PV = 802.07 FV = 1000 PMT = 30 (coupon rate is 6% so semi annual coupon is 30) i = ?

#6

Thanks Anish!

#7

For the test, is there a reason to memorize some of these formulas that the 12c can do easily on it’s own? I.e. Is it sufficient just to have an unmemorized, but basic understanding of the these formulas that the 12c can easily compute on it’s own? It would be much slower if I had to calculate answers manually…

I understand not all problems are amenable to using just the 12c and not memorizing formulas, but for the several types of questions that the 12c can compute on it’s own, what are the risks of not completely memorizing these formulas?

Thank you.

#8

If you know how to do it in your calculator, then you don’t need to memorize the formula.