Re: yield to maturity
- To: mathgroup at smc.vnet.net
- Subject: [mg41724] Re: [mg41721] yield to maturity
- From: Andrzej Kozlowski <akoz at mimuw.edu.pl>
- Date: Tue, 3 Jun 2003 07:13:05 -0400 (EDT)
- Sender: owner-wri-mathgroup at wolfram.com
On Monday, June 2, 2003, at 05:35 pm, Jonathan Mann wrote:
>
> Hi group,
>
> I need to solve for r in an equation of the form:
>
> Sum[I/(1+r)^t, {t,1,n}] + M/(1+r)^n ]==P
>
> For example's sake, let's say:
>
> Solve[ Sum[ 45/(1+r)^t ,{t,1,5}] + 1000/(1+r)^5 == 913, r]
>
> This isn't working out too well. Any ideas?
>
> Thanks,
>
> Jonathan Mann
>
>
>
>
What is wrong with the answer Mathematica returns? If you do not like
Root objects you can apply N. Or, faster:
In[7]:=
Last[r/.NSolve[ Sum[ 45/(1+r)^t ,{t,1,5}] + 1000/(1+r)^5 == 913, r]]
Out[7]=
0.0659912
Andrzej Kozlowski
Yokohama, Japan
http://www.mimuw.edu.pl/~akoz/
http://platon.c.u-tokyo.ac.jp/andrzej/