Format all of these columns as dollar values with two decimal places by selecting the columns and then clicking the dollar sign symbol in the Format Number box of the Home menu. Set up columns in the following order: Payment, Cash Paid, Interest Expense, Amortized Amount and Carrying Amount. Put the bond information cells you've just created off to the side, away from the table columns. The user can calculate the bond’s yield using an Excel function or a business calculator.
Give names to these cells so that you can refer to them in the table columns by name rather than address, which you can do by typing in the cell's name in the Name Box on the far left of the Formula Bar.Īssume the bond makes semi-annual interest payments and that you amortize the bond on the same schedule. Creating Cells for Bond InformationĬreate cells to hold bond information, including Bond Purchase Price, Bond Face Value, Years Until Maturity, Coupon Rate and Yield to Maturity.
You can produce a bond amortization table in Excel by first creating the appropriate cells for storing all of the relevant information and then inputting the necessary formulas to complete critical calculations.
0 kommentar(er)
