Commercial Paper Yields
Like Treasury Bills, yields on commercial paper are quoted on a discount basis—the discount return to commercial paper holders is the annualized percentage difference between the price paid for the paper and the par value using a 360-day year. Specifically: icp(dy) = x (360/h)
and when converted to a bond equivalent yield:
icp(bey) = x (365/h)
Read more about this topic: Commercial Paper
Famous quotes containing the words commercial, paper and/or yields:
“So by all means let’s have a television show quick and long, even if the commercial has to be delivered by a man in a white coat with a stethoscope hanging around his neck, selling ergot pills. After all the public is entitled to what it wants, isn’t it? The Romans knew that and even they lasted four hundred years after they started to putrefy.”
—Raymond Chandler (1888–1959)
“It is hard to believe that England is so near as from your letters it appears; and that this identical piece of paper has lately come all the way from there hither, begrimed with the English dust which made you hesitate to use it; from England, which is only historical fairyland to me, to America, which I have put my spade into, and about which there is no doubt.”
—Henry David Thoreau (1817–1862)
“A new person is to me a great event, and hinders me from sleep. I have often had fine fancies about persons which have given me delicious hours; but the joy ends in the day; it yields no fruit.”
—Ralph Waldo Emerson (1803–1882)