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:
“It is only by not paying one’s bills that one can hope to live in the memory of the commercial classes.”
—Oscar Wilde (1854–1900)
“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)
“Only he who can view his own past as an abortion sprung from compulsion and need can use it to full advantage in the present. For what one has lived is at best comparable to a beautiful statue which has had all its limbs knocked off in transit, and now yields nothing but the precious block out of which the image of one’s future must be hewn.”
—Walter Benjamin (1892–1940)