How it works
Solve the discounted coupon-plus-face-value equation by bisection over a nominal annual yield from −90% to 1,000%. Coupons occur at equal intervals.
Input definitions
- Price on a coupon date
- Enter the value in the labeled unit.
- Face value
- Enter the value in the labeled unit.
- Annual coupon rate (%)
- Enter the value in the labeled unit.
- Whole years remaining
- Enter the value in the labeled unit.
- Coupon payments per year
- Enter the value in the labeled unit.
A worked example
- Price on a coupon date
- 1000
- Face value
- 1000
- Annual coupon rate (%)
- 5
- Whole years remaining
- 5
- Coupon payments per year
- 2
Assumptions & limits
Single-currency illustration using your entered amounts and rates, not a recommendation, approval or forecast. No automatic tax rules or market data. Coupon-date valuation; whole years and 1–12 payments/year.
Sources & review
Maintained by AnsRio. Methods and examples use automated checks; this does not imply independent professional certification.
Method updated 2026-10-17. Content checked against the stated method and examples. Our verification approach.
Common questions
Is yield to maturity the same as the coupon rate?
No. Coupon rate determines coupon cash flows from face value. Yield also depends on the price paid and remaining time. They coincide for a par-priced bond in this model.
How does Bond yield to maturity solver work?
Solve the discounted coupon-plus-face-value equation by bisection over a nominal annual yield from −90% to 1,000%. Coupons occur at equal intervals.
What are the limits of Bond yield to maturity solver?
Single-currency illustration using your entered amounts and rates, not a recommendation, approval or forecast. No automatic tax rules or market data. Coupon-date valuation; whole years and 1–12 payments/year.