ODDLPRICE function: Description, Usage, Syntax, Examples and Explanation
What is ODDLPRICE function in Excel?
ODDLPRICE function is one of the Financial functions in Microsoft Excel that returns the price per $100 face value of a security having an odd (short or long) last coupon period.
Syntax of ODDLPRICE function
ODDLPRICE(settlement, maturity, last_interest, rate, yld, redemption, frequency, [basis])
The ODDLPRICE function syntax has the following arguments:
- Settlement: The security’s settlement date. The security settlement date is the date after the issue date when the security is traded to the buyer.
- Maturity: The security’s maturity date. The maturity date is the date when the security expires.
- Last_interest: The security’s last coupon date.
- Rate: The security’s interest rate.
- Yld: The security’s annual yield.
- Redemption: The security’s redemption value per $100 face value.
- Frequency: The number of coupon payments per year. For annual payments, frequency = 1; for semiannual, frequency = 2; for quarterly, frequency = 4.
- Basis (Optional): The type of day count basis to use.
Note: Problems can occur if dates are entered as text. Therefore, all dates should be entered by using the DATE function, or formatted as date under format cell to avoid errors.
| Basis | Day count basis |
| 0 or omitted | US (NASD) 30/360 |
| 1 | Actual/actual |
| 2 | Actual/360 |
| 3 | Actual/365 |
| 4 | European 30/360 |
ODDLPRICE formula explanation
- Microsoft Excel stores dates as sequential serial numbers so they can be used in calculations. By default, January 1, 1900 is serial number 1, and January 1, 2008 is serial number 39448 because it is 39,448 days after January 1, 1900.
- The settlement date is the date a buyer purchases a coupon, such as a bond. The maturity date is the date when a coupon expires. For example, suppose a 30-year bond is issued on January 1, 2008, and is purchased by a buyer six months later. The issue date would be January 1, 2008, the settlement date would be July 1, 2008, and the maturity date would be January 1, 2038, which is 30 years after the January 1, 2008, issue date.
- Settlement, maturity, last_interest, and basis are truncated to integers.
- If settlement, maturity, or last_interest is not a valid date, ODDLPRICE returns the #VALUE! error value.
- If rate < 0 or if yld < 0, ODDLPRICE returns the #NUM! error value.
- If basis < 0 or if basis > 4, ODDLPRICE returns the #NUM! error value.
- The following date condition must be satisfied; otherwise, ODDLPRICE returns the #NUM! error value:maturity > settlement > last_interest
Example of ODDLPRICE function
Steps to follow:
1. Open a new Excel worksheet.
2. Copy data in the following table below and paste it in cell A1
Note: For formulas to show results, select them, press F2 key on your keyboard and then press Enter.
You can adjust the column widths to see all the data, if need be.
| Data | Argument description | |
| February 7, 2008 | Settlement date | |
| June 15, 2008 | Maturity date | |
| October 15, 2007 | Last interest date | |
| 3.75% | Percent coupon | |
| 4.05% | Percent yield | |
| $100 | Redemptive value | |
| 2 | Frequency is semiannual | |
| 0 | 30/360 basis | |
| Formula | Description | Result |
| =ODDLPRICE(A2, A3, A4, A5, A6, A7, A8, A9) | The price per $100 of a security having an odd (short or long) last coupon period, for a bond using the terms in cells A2:A10 as function arguments. | $99.88 |