`"Bank Discount Yield" = ( "ParValue" - "PurchasePrice" )/( "ParValue" ) * 365/ "days" `

Enter a value for all fields

The Bank Discount Yield equation is used to determine the annual percentage return on a bond.

EXAMPLE:

Given the following information :

Purchase price: $9800

Maturity:  90 days

Par value:  $10,000    ,the calculator above will give a BDY of 8.1%.