The function levelcoupon calculates the present value at interest rate rate of a bond with face value face maturing in maturity period and paying at a rate couponrate per period.

The coupon rate is the rate that determines the payments that the bond gives. The rate is the interest rate used in calculating the present value of the bond.

If the bond never matures, one has a perpetuity. See Finance[perpetuity].

The present value of a bond that pays only its face value at maturity, but no coupon payments (pure discount bonds or zero level bonds), is calculated using the Finance[presentvalue] function.

Since levelcoupon used to be part of the (now deprecated) finance package, for compatibility with older worksheets, this command can also be called using finance[levelcoupon]. However, it is recommended that you use the superseding package name, Finance, instead: Finance[levelcoupon].

$\mathrm{with}\left(\mathrm{Finance}\right)\:$

$\mathrm{levelcoupon}\left(1000\,\frac{0.10}{2}\,\frac{0.12}{2}\,6\right)$

$1050.756921$

$\mathrm{levelcoupon}\left(1000\,\frac{0.12}{2}\,\frac{0.12}{2}\,6\right)$

$999.9999998$

$\mathrm{levelcoupon}\left(1000\,\frac{0.14}{2}\,\frac{0.12}{2}\,6\right)$

$952.3346034$

The Finance[levelcoupon] command was introduced in Maple 15.

For more information on Maple 15 changes, see Updates in Maple 15.