Money & borrowing
Bond Macaulay duration
Bond Macaulay duration: Discount each payment at yield/frequency.
Money & borrowing — Page 4
Choose a tool. The method, example and assumptions are included.
Showing 73–96 of 112 tools
Money & borrowing
Bond modified duration price sensitivity
Bond modified duration price sensitivity: Modified duration = Macaulay duration / (1 + nominal yield/frequency), approximating fractional price sensitivity to yield.
Money & borrowing
Gordon dividend growth valuation
Gordon dividend growth valuation: Model value = last dividend × (1+growth) / (required return − growth), with required return greater than growth.
Money & borrowing
Preferred share current yield
Preferred share current yield: Current yield = annual preferred dividend / current price × 100.
Money & borrowing
Stock split share and cost adjustment
Stock split share and cost adjustment: Shares after split = old shares × new/old ratio.
Money & borrowing
Theoretical ex-rights price
Theoretical ex-rights price: TERP = (existing share count × old price + new share count × subscription price) / total share count.
Money & borrowing
Weighted average cost of capital
Weighted average cost of capital: WACC = equity weight × cost of equity + debt weight × cost of debt × (1−tax rate).
Money & borrowing
Debt service coverage ratio
Debt service coverage ratio: Debt service coverage ratio = annual net operating income / annual debt service for the same period.
Money & borrowing
Cash-out refinance net proceeds
Cash-out refinance net proceeds: Net cash proceeds = new loan − existing payoff − closing costs.
Money & borrowing
Remaining loan term from payment
Remaining loan term from payment: Remaining months = −ln(1−monthly rate × balance/payment)/ln(1+monthly rate), rounded up; zero rate uses balance/payment.
Money & borrowing
Car loan principal from monthly budget
Car loan principal from monthly budget: Affordable principal = monthly payment × [1−(1+r)^−n]/r.
Money & borrowing
Currency cross-rate calculator
Currency cross-rate calculator: Units of C per A = (B per A) × (C per B).
Money & borrowing
Canadian mortgage semiannual compounding
Canadian mortgage semiannual compounding: Convert semiannual nominal rate j to monthly rate (1+j/2)^(1/6)−1, then apply the standard monthly amortising-payment formula.
Money & borrowing
Card reward versus payment fee
Card reward versus payment fee: Net benefit = purchase × (reward rate − payment fee rate).
Money & borrowing
Investment fund fee comparison
Investment fund fee comparison: Difference = balance grown after Fund B total annual fees minus balance grown after Fund A total annual fees.
Money & borrowing
Annual bank account fee cost
Annual bank account fee cost: Annual fees = 12 × monthly fee + overdraft count × fee + ATM count × fee.
Money & borrowing
Rent affordability after fixed costs
Rent affordability after fixed costs: Monthly leftover = take-home income − rent − utilities − debt payments − other essentials.
Money & borrowing
Rent increase annual impact
Rent increase annual impact: Additional cost = (new rent − old rent) × months − any avoided moving cost.
Money & borrowing
Home price from all-in monthly budget
Home price from all-in monthly budget: Available principal-and-interest payment is the budget minus non-loan costs.
Money & borrowing
Annual unrecoverable homeownership cost
Annual unrecoverable homeownership cost: Unrecoverable annual cost = interest + property tax + insurance + value × maintenance rate + HOA.
Money & borrowing
Mortgage cash needed at closing
Mortgage cash needed at closing: Cash needed = price × down-payment rate + price × closing-cost rate + prepaids − credits.
Money & borrowing
Mortgage discount points break-even
Mortgage discount points break-even: Break-even months = upfront point cost ÷ monthly payment saving.
Money & borrowing
Refinance total-cost break-even
Refinance total-cost break-even: Break-even months = upfront costs ÷ (old payment − new payment − added monthly costs).
Money & borrowing
Simple extra mortgage payment saving
Simple extra mortgage payment saving: Approximate interest saved = interest under the original payment schedule minus interest under the higher payment schedule.