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1995-03-13
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BondCalc!
Bond Values & Yields
Pine Grove Software
67-38 108th Street, Suite D-1
Forest Hills, NY 11375 USA
(800) 242-9192
(718) 575-9192
COPYRIGHT NOTICE
(c) 1990, 1991 by Pine Grove Software, All Rights Reserved.
BondCalc! is copyrighted software and as such is protected by
the laws of the United States. You may distribute unmodified
copies of this software to others but you may not sell it. If you
are a distributor of shareware software, you may charge up to $10
for your disk duplication services. This product may NOT be
distributed along with any other product that is being sold for
profit without the expressed, prior written permission of Pine
Grove Software.
SOFTWARE LICENSE AGREEMENT
BondCalc! may be used free of charge. (You may have paid
someone to duplicate a copy of this program for you. Such costs
do NOT constitute the payment of a license fee.) Your only
obligation, if you choose to use BondCalc!, is to register your
use of the program with Pine Grove Software.
If you have any questions concerning this license agreement,
please call us at (800) 242-9192 or (718) 793-4622.
i
WARRANTY/LEGALESE
While these routines are easy to use, financial planning
requires careful study. Therefore, Pine Grove Software specifi-
cally disclaims all warranties, expressed or implied, including
but not limited to, implied warranties of merchantability and
fitness for a particular purpose or use. In no event shall Pine
Grove Software be liable for any loss of profit or any other
commercial damage, including but not limited to, special, inci-
dental, consequential, or other damages. We suggest that you
obtain professional guidance when making any major financial
decisions. We are NOT responsible for your interpretations of the
results obtained with these routines, even if it is shown that
there is an error in the programming of a routine.
While great care has been taken with regards to the accuracy
of these routines. And the results that these routines produce
have been checked against a number of sources, it is still
possible that you may get different results than what you had
expected. Some of these differences are caused by internal
rounding of the calculations (usually off by no more than 1/10 of
1% over say 20 years); by the way interest and periods are
calculated; by an error in using the program; or possibly, in an
extreme case, by an error in programming. Therefore, when using
this program, please use common sense. And if you are about to
make what could be for you an important financial decision,
triple check the results obtained with this or any calculator.
ii
INTRODUCTION
Thank you for selecting BondCalc!. We believe that you have
chosen a program second to none in its application class.
BondCalc! performs more calculations faster and with less effort
than any other program we have seen. BondCalc! is easy to use.
There is never any programming needed to solve a problem. All you
have to do is answer each question in a routine and press <F9>
and, in most cases, the results will be displayed instantly.
Much of what is found in this manual is also available
through the program's help function. If you do get stuck at any
time, press the <F1> key and a detailed help window will be
displayed. If you are at the main menu and need information about
a routine, simply highlight the routine's name and press <F1> and
a description of the routine will be displayed.
One final item. Like all software publishers, we hope that
you take the time to at least browse through the manual. No
matter how easy a program is to use, you will undoubtedly learn
something by doing this. We want you to get the most from our
software as you possible can.
iii
BondCalc! 1.0 (c) Pine Grove Software
COPYRIGHT NOTICE . . . . . . . . . . . . . . . . . . . . . . i
LICENSE AGREEMENT . . . . . . . . . . . . . . . . . . . . . . i
WARRANTY . . . . . . . . . . . . . . . . . . . . . . . . . . ii
INTRODUCTION . . . . . . . . . . . . . . . . . . . . . . . . iii
INSTALLATION . . . . . . . . . . . . . . . . . . . . . . . . 2
INITIAL INSTALL . . . . . . . . . . . . . . . . . . . . . . . 3
STARTING BONDCALC! . . . . . . . . . . . . . . . . . . . . . 4
SELECTING FROM THE MENUS . . . . . . . . . . . . . . . . . . 5
IMPORTANT KEYS . . . . . . . . . . . . . . . . . . . . . . . 6
HELP WITH HELP . . . . . . . . . . . . . . . . . . . . . . . 9
ENTERING/EDITING INFORMATION . . . . . . . . . . . . . . . . 10
THE ROUTINES OF BONDCALC! . . . . . . . . . . . . . . . . . . 11
YIELDS . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
VALUES . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
SOLVEIT! 4.0 . . . . . . . . . . . . . . . . . . . . . . . . 19
INDEX . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
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BondCalc! 1.0 (c) Pine Grove Software
INSTALLATION
Installing BondCalc! on a Hard Disk from a 5.25" Original
BondCalc! is easy to install. It is not copy protected. The
program, as it is distributed on 5.25" disks, is compressed in
order to save disk space. Therefore, the program can not be run
from the original disk. To prepare for use, follow these steps
(we assume you are putting the program on a hard drive):
Type this: Press This: Comments:
Place the original BondCalc! disk in
drive A: (or B:)
c: <enter> log on to the hard drive, your hard
drive may be a different letter
cd \ <enter> change to the root directory
md Bonds <enter> make a directory for BondCalc!
cd \Bonds <enter> make the BONDS directory the default
directory
copy a:*.* <enter> copy all files from the distribution
disk to your hard drive
if you put the original disk in drive
b: change the a: to b: in this step
BondCalc <enter> this is the expand (unzip) step
Bonds <enter> this starts the program so you can
set it for your system
during this step, you will enter your
name and tell the program if you have
a color monitor. When you are done
press <F9> and you will exit
Bonds <enter> The program starts with this command
INSTALLING BondCalc! on a Hard Disk from a 3.5" Original:
Follow the steps above, except ignore the "Bondsexp" command.
As the program is distributed on a 3.5" disk it does not need to
be decompressed.
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BondCalc! 1.0 (c) Pine Grove Software
INITIAL INSTALL
This step assumes all files are decompressed and that
BondCalc! is on your hard drive or a working diskette. If this is
not the case see "Installing BondCalc! on a Work Disk."
The first time you run BondCalc!, you will be asked to enter
your name and to tell the program whether or not you are using a
monochrome monitor or a color monitor. Simply enter the name that
you will want to have printed on the reports and answer the
question "Y" or "N" as to whether or not you see colors on your
screen.
Once you are have done this, press <F9> to set the software
for your computer. Now, restart the program.
With some versions of the program, you may be also asked to
enter the current date. If you are asked to do this, the date
must be entered in a MM/DD/YY format. Please be sure to set the
correct date so that BondCalc! can do it's date calculations
correctly.
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BondCalc! 1.0 (c) Pine Grove Software
STARTING BONDCALC!
If you have installed BondCalc! on a hard drive according to
the instructions under "Installing BondCalc! on a Work Disk",
change to the drive that you loaded it on. For example, if
BondCalc! is on drive c: do the following:
Enter: Comment:
c: changes to drive BondCalc! is on if you have
loaded it on another drive substitute the
appropriate drive letter
cd \Bonds change to the suggested directory that B-
ondCalc! is in
Bonds this starts the program
or
Bonds /G when program starts, initial graphics screen
is suppressed
or
Bonds /I starts BondCalc! in install mode so that you
can customize settings
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BondCalc! 1.0 (c) Pine Grove Software
SELECTING FROM THE MENUS
When the program starts you will see the BondCalc! logo. You
may pass by this screen quickly by pressing the space bar. Once
you have done this you will see the opening menu. This menu is
refereed to in this manual as the main menu.
You may pick a menu item two ways. You may use your cursor
keys to move the highlight bar up and down. When the bar is over
the menu item that you want, press <Enter>. Or secondly, you may
type the highlighted letter (or capital letter) of a menu item
and that item will be selected.
While the cursor bar is on a menu item, if you press <F1> a
help window will describe what the routine does.
See also the appendix for a diagram of the menu structure. In
addition, see "Local Menus", else where in this manual.
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BondCalc! 1.0 (c) Pine Grove Software
IMPORTANT KEYS
Throughout the BondCalc!'s instructions and help screens, you
will see symbols such as <F1> or <Esc>. This means, find the keys
on your keyboard that have an F1 or Esc written on them and press
them to activate the feature.
Often you will also see a symbol such as <^Y>. This means to
hold the <Ctrl> key while pressing the <Y> key. The technique is
like using the shift key to produce a capital "Y". This symbol
<^Y> is called "Control Y".
While the help lines at the bottom of a routine's screen will
remind you about some of the keys that you may use at any given
moment, it is impossible to list all of the keys available. It is
VERY IMPORTANT for efficient use of BondCalc! to remember the
options that are available to you. In selected fields, these keys
will produce the following:
<Esc> exits what you are doing and restores the original value to
the field. This is the "I don't want to be here key!". This is
particularly useful when printing.
<F1> brings up the help system. Press <F1> a second time and you
will see a help index. Use the cursor keys to high light a topic
of interest and then press <Enter> to display the help informa-
tion for that topic.
<F3> starts printing. In some routines you will have the option
of sending the report to the printer, disk drive or screen. When
appropriate, simply select the destination from the menu.
<F4> sends a line feed to the printer. Use this key (rather than
the line feed on the printer) to advance the paper so that you
can have the desired spacing between the print outs for the
routines.
NOTE: By using this key instead of the printer's line feed key,
you will keep the program's internal line counter synchronized
with the printer. This will prevent a print out from being split
across two pages.
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BondCalc! 1.0 (c) Pine Grove Software
<F5> sends a form feed to the printer. This will eject the
current page and IF the paper has been correctly set in the
printer, it will align the printer to print at the top of the
next sheet of paper. Use this key INSTEAD of the form feed button
on the printer. (See the note on the <F4> key.)
<F9> performs the action. Usually calculates. While in copy mode,
it performs the copy. When a screen is asking you for informa-
tion, such as before a printout, <F9> is used to complete the
data input. (Consider this to be the "DO-IT!" key.)
<tab> moves the cursor from one field to the next field.
<shift><tab> moves the cursor back one field.
<PgUp> moves the cursor to the top of the column.
<PgDn> moves the cursor to the bottom field of the column.
<^PgUp> moves the cursor to the first field on screen.
<^PgDn> moves the cursor to the last field on screen.
<^Y> clears the field. That is, it deletes the contents of a
field. If you are having trouble entering data and BondCalc! is
beeping at you, try clearing the field using <^Y>. Then start
entering the data again.
<^R> restores the original contents of the field
<Home> moves the cursor to the beginning of the field.
<End> moves the to the end of the field.
<^ > (Ctrl left arrow) moves cursor a word at a time to the left.
<^ > (Ctrl right arrow) moves cursor a word at a time to the
right.
<Del> deletes character at the cursor.
<BackSpace> deletes character to left of the cursor.
<^Home> deletes from beginning of subfield to cursor. Example:
When entering a date in the 'MM/DD/YY' format, using <^Home>
while on the second 'D' of the 'DD' part of the date will delete
just the 'DD' part of the entry. In other words, the 'DD' is the
subfield.
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BondCalc! 1.0 (c) Pine Grove Software
<^end> deletes from cursor to end of the subfield. This is the
opposite of the <^Home> key.
<^T> deletes word to right of the cursor.
<Ins> toggles insert mode on and off.
<Alt><F1> will display the previously called help topic.
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BondCalc! 1.0 (c) Pine Grove Software
HELP WITH HELP
Press the <F1> key at any time to bring up a context sensi-
tive help window. If <F1> is pressed again while help is being
displayed, a list of help topics will be shown. You may use the
cursor keys to move to any topic. Press <Enter> and then help on
that topic will be displayed.
<Alt><F1> will display the previously called help topic.
<Esc> will exit a help window.
While in some help windows, one or more related help topics
may be shown. Use the cursor to move the highlight bar to one of
these topics and press <ENTER> to read the help information on
the related topic.
Also, always note the bottom right corner of the help window
to see if there is additional help information. This will be
indicated by the PgUp/PgDn indicators.
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BondCalc! 1.0 (c) Pine Grove Software
ENTERING/EDITING INFORMATION
There are three basic types of data or information that
BondCalc! will allow you to enter. The first data type is
numeric. Simply enter the appropriate value and press enter. If
you need to clear a value press <Y> while holding the <Ctrl> key.
<^Y>
The second type of entry is a date type. Enter any valid date
in a MM/DD/YYYY format. Do not type in the </>'s. The program
provides them automatically. Also, with a date you can use the
<Tab> key to move to any one of the three fields (month, day or
year). Once at a field, enter the correct value and press enter.
When in the year field, it is possible to enter just the last two
years of a date and BondCalc! will fill in the missing first two
numbers if the year is in this century. In the month or day field
it is NOT necessary to supply a leading zero. You may enter 2 for
February. You do not need to enter 02. If you use this technique,
you must move to the next field by pressing the <Tab> key.
NOTE: If you do not enter a valid date, BondCalc! will beep
when you press enter.
The third data type is when you are limited to a few specific
choices. An example of this is Compound Period in the loan table
routine where the range of input is limited to 8 or so choices.
To change from one acceptable value to another, press either the
<space bar> or the dark gray <+> or <-> keys located on the right
side of the keyboard. Once the correct value is selected, you may
move on to the next field by pressing <Enter> or using the
appropriate cursor key or the <Tab> key.
Moving Around
BondCalc! allows you to compare yields and values of 3 bonds
simultaneously. The best way to enter the data for each bond is
to enter a value and then use the down arrow key to move down to
the next field. If you would rather, you can move to the next
bond by pressing enter.
Note that <PgUp> and <PgDn> move you to the top and bottom of
a column respectively. While <Tab> and <ShiftTab> moves you right
or left one field respectively.
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BondCalc! 1.0 (c) Pine Grove Software
THE ROUTINES OF BONDCALC!
A Bond
A BOND is a security which represents a loan from an investor
to the issuer. The face value of the bond is repaid by the issuer
on the maturity date. The coupon rate of interest is paid to the
registered investor usually on a semiannual basis.
YIELDS
This routine solves for three yields: Current Yield,
Yield-to-Maturity and Yield-To-Call. Looking at potential yields
of course allows you to evaluate a bonds attractiveness as an
investment. Yield computations do not however take into account
the risk involved with a particular issue.
The Current Yield is the dollars of interest paid in one year
divided by the Current Price. (One year's interest is equal to
the Par Value multiplied by the Coupon Rate.) The Current Yield
assumes that interest payments are NOT reinvested.
The Yield-To-Maturity assumes that the interest payments will
be reinvested at a rate equal to the bond's original YTM. YTM
calculations do not provide total return information on an
absolute basis since there is this assumption being made. The
value of a YTM calculation is so that different bonds can be
compared to each other on a relative basis.
Often bonds can be called (debt paid off) by the issuer and
they will often do so if interest rates fall. Therefore, it is
often a good idea to see what the rate of return would be if a
bond is called. This is the Yield-to-Call value. The same caveats
apply to YTC as they do to YTM.
Current Price
While bonds are usually issued at Par, they are available in
the resale market at either a premium or a discount. If a bond is
quoted in the papers at a discount of $86, enter $86 here. We are
assuming that the actual Par value is $1000.
Coupon Rate
The rate of interest a bond pays annually. This is usually
compounded semiannually. To determine the dollars of interest
paid, multiply the Par Value by the Coupon Rate.
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BondCalc! 1.0 (c) Pine Grove Software
Settlement Date
This is the date that the buyer and seller exchange cash and
securities. This is usually 5 business days after the trade date
for corporate, municipal and agency bonds. US Government Bonds
settle one business day after the trade date.
Maturity Date
The date that the Par Value must be repaid. Any maturity is
legally permissible, however bonds usually have a maturity of
between 10 and 40 years from the date of issue.
Call Date
Often bonds will be issued with a call provision. The call
can take place on or after a specified call date. This is
important when evaluating a bond because there is no guarantee
that a particularly high rate of return will be maintained until
the maturity date.
Call Price
Usually, if a bond is callable, the issuer pays a penalty for
the privilege of being able to call the bond. This is known as
the Call Price which, of course, is higher than the Par Value.
The Call Price is often equal to the Par Value plus on year's
interest.
Par Value
This is the stated face value of the bond, it is often
$1,000. This is the amount of money that the firm needs to repay
on the maturity date.
Bond prices are usually quoted per $100 of Par Value. That
is, if a bond's par is $1,000 and it's current price is $860, the
price quoted in the business pages of newspapers will be $86.
BondCalc! follows this convention by setting the default Par
Value to $100 to indicate that the price calculated is actually
per $100 of par.
Please note that you don't have to do the calculations per a
single bond. If you want to purchase bonds worth $50,000 at par,
you can enter $50,000 in the Par Value field. The resulting
calculations will show the price that has to be paid for the
entire $50,000.
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BondCalc! 1.0 (c) Pine Grove Software
Bond's Description
Enter a description of the bond here. For example, The New
York Times lists the Shell Oil's 7.25% of 2002 as ShellO 7 1/4
02.
Compounding
Generally, interest on bonds is compounded semiannually.
Day's Per Year
For the purpose of calculating Accrued Interest on corporate
bonds, every month is assumed to have 30 days and each year is
assumed to have 360 days. On the other hand, when calculating
accrued interest on Government Bonds. it is generally assumed
that a year has 365 days in it and the exact number of days are
used.
Current Yield
Current Yield is the number of dollars of interest paid to an
investor over a one-year period divided by the bond's market
price. This figure is expressed as a percentage. Since bonds'
market values change constantly, so do bonds' current yields.
The current yield is a very important value if you do not
plan to reinvest the interest payments.
Yield-to-Maturity
What is the approximate rate of interest if the bond is held
to maturity? We say "approximate rate of interest" here because
we need to assume that ALL interest payments can be reinvested at
the coupon rate. THIS IS HIGHLY UNLIKELY.
The value to the investor of the Yield-to-Maturity figure is
not it's absolute value, but rather its relative value when
compared to other Yield-to-Maturity figures for different bonds.
With the above in mind, it is important to understand that an
investor should NEVER compare a Yield-to-Maturity for one bond
that was derived by using a program or calculator with the Yield-
to-Maturity for another bond that was derived by using another
program or calculator.
The reason for this is simple. Historically, Yield-to-
Maturity values have been determined by using interpolation. That
is, there was no formula that would provide a Yield-to-Maturity
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BondCalc! 1.0 (c) Pine Grove Software
result. This could lead to slightly different answers from one
calculator or program to another. However, this is not a problem,
since ALL Yield-to-Maturity values are going to be, in fact,
erroneous, since they assume that the interest payments will be
reinvested at exactly the same rate as the coupon interest rate.
BondCalc! on the other hand, solves for Yield-to-Maturity, by
using a formula developed by R.J. Rodreguez. Rodreguez's formula,
known as the Rule-of-Thumb Yield, gives slightly different
results that those obtained through interpolation. The reason
that we choose a Rule-of-Thumb Yield for this program is because
it is MUCH faster to solve for Yield-to-Maturity using a Rule-of-
Thumb method than using an interpolated method. (SEE NOTES AFTER
INDEX!)
Yield-to-Call
Some bonds have a Call provision. If interest rates drop, the
issuer of the bond can "call" the bonds, that is buy them back at
a call price which is usually Par plus one year of coupon
interest. The Yield-to-Call will tell you your rate of return if
you held a bond until it was called.
Caution: Watch buying a bond that is selling for a premium
that can be called. It is possible for the bond to be called
which might result in a capital loss. (That is, the issuer of the
bond pays you the Call Price and you paid the premium.)
See Yield-to-Maturity for caveats that apply to the Yield-to-
Call result. (SEE NOTES AFTER INDEX!)
VALUES
If the coupon rate of a bond is 8%, the current price is $105
and market interest rates are at about 7.5%, is this a good
investment? Use this routine to find out.
Besides calculating what the current price of a bond should
be to achieve a desired yield, this routine also calculates the
accrued interest, future value to maturity and, optionally, the
affects of inflation and/or taxes.
Tax Bracket
If you wish to see the total dollar return after an allowance
for taxes, enter your tax bracket here. You may wish to take into
account not only Federal taxes, but State and Local taxes as
well.
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BondCalc! 1.0 (c) Pine Grove Software
Inflation Rate
If you want to see what your purchasing power is after
inflation, enter an estimated rate for inflation here.
Accrued Interest
Accrued interest is the interest that the seller is entitled
to receive from the buyer on the settlement date. Accrued
interest is the interest that the seller has earned while owning
the bond for the time after the last interest payment date up
until the settlement date.
FV w/Compounding
This is the value that the bond will have if held to maturity
allowing for compounding of the interest payments.
Please note, if you are doing calculations for a bond that
actually has a par value of $1,000 but you want to see the price
per $100 by entering $100 in the Par Value field, you will have
to multiply the results in the FV field by 10.
Purchasing Power
This is the future value at maturity allowing for inflation
and/or taxes.
Desired Yield
Enter the desired rate of return. BondCalc! will calculate
the price (Present Value) that you should pay for a bond
considering it's coupon rate and term.
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BondCalc! 1.0 (c) Pine Grove Software
MESSAGES
"CALC"
When the "CALC" message is displayed in the upper right hand
corner of the window, this means that the results that are
currently shown are not accurate. To get rid of this message and
to display the correct calculations, press the <F9> key.
"Out-of-Range"
Occasionally, you will see an "Out-of-Range" message dis-
played in the upper left corner of the window. When you see this
message, it means that the resulting answer to a calculation
produced a result that was too large to display. Therefore, DO
NOT accept the displayed answer as being correct!!
16
BondCalc! 1.0 (c) Pine Grove Software
SETTING OTHER OPTIONS, THE INSTALL MENU
The install (or setup) function will allow you to customize
certain features of the program.
To start install, you must first be in the directory that
BondCalc! is located in. If you set the program up on your hard
disk the way we suggested at the start of this manual, you would
log on to the drive that BondCalc! is located on and type
"CD \Bonds". Then from there enter:
Bonds /I
You will then be shown a menu from which you can set the follow-
ing items:
Color Picker
Selecting the color picker will give you another menu of
choices so that you can completely customize BondCalc!'s screen
colors. You will be able to change:
Frame (menu frame or window border)
Title (menu/window title background)
Unselected Text (normal menu and screen text)
Selected (text in menu's cursor)
Pick (character that is menu choice)
Help (help lines at bottom of a window)
Before you start to change the default colors, please make
sure that you are working with a backup copy!!
You may pick a color for BondCalc!'s text by picking the
unselected text option. By selecting this or any color option,
you will be shown a box with text written in it. If you press the
space bar the colors will change. Note how first all possible
text colors are displayed for a particular background color. Once
all text colors are shown for the background color, the back-
ground color will change and you will be rotated through all of
the text color combinations again for the new background color.
You can move "BACKWARD" or "FORWARD" through the color choices by
using the <+> or <-> keys on the right side of the keyboard near
the numeric keypad.
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BondCalc! 1.0 (c) Pine Grove Software
Once you see a color combination that you like, press <Enter>
to accept it. If you wish, you may press <Esc> to cancel the
color picking option and to return to the install menu without
setting a color.
You may set the colors for any of the options using the same
technique. When you are finished setting the colors, hit <Esc>
from the "color picker" menu to return to the main install menu.
(Remember, If you hit <Esc> while the color pick window is shown
you will not be setting the new color, <Esc> is to exit the color
pick menu only.)
Default Subdirectory
The default subdirectory is the directory that BondCalc!
looks into to find its overlay and data files. There is no need
for you to install a default subdirectory if the program is
started while you are in the subdirectory that BondCalc! is in on
your hard drive.
Budget Items
Not Applicable in BondCalc!
Net Worth Items
Not Applicable in BondCalc!
Page Length
Page length in this case is actually a misnomer. Entering a
value here will actually set BondCalc! for the number of lines
that you want to print on a page.
For standard 8.5 x 11 inch paper we suggest a setting of 60
line to allow for an appropriate bottom margin. You can set any
value from 5 lines to 255 lines.
Save Changes & Quit
This option will save the changes that were made while using
the install routine. Thus, when you start BondCalc!, these
changes will become the program's default settings.
Quit Install/No Save
This option will ignore all changes that were just made while
in the install routine.
18
BondCalc! 1.0 (c) Pine Grove Software
SolveIt! 4.0
SolveIt!, The Financial Calculator was released in 1985. It
has gone through many revisions over the years. In addition to
the routines from BondCalc!, SolveIt! contains over 30 other
routines that answers questions regarding money.
Among those 30 routines are:
Amortization
Business/Personal Net Worth statements
Business/Personal Budgets & Cash Flow Analysis
Rental Income Analysis
Annuity Payout or Time to Withdrawal Schedules
Future Value
Present Value of an Amount or Present Value of a Series
Internal Rate of Return
Accelerated Payment
Loan Calculator
Equivalent Interest Rate
Interest Rate Earned
Calendar Math
Interest Due between dates or for any number of days
Purchasing Power
Affordable House
Gross Profit Margin
Weighted Averages
SolveIt! allows for interest rates to be adjusted throughout
the routines. Additionally, payment or deposits can be
increased/decreased or skipped. Many routines allow for the
effects of inflation. The program allows you to choice from 8
payment or deposit periods and from among 10 compounding periods.
SolveIt! is a powerful financial calculator, yet it is easy
to use. The New York Times said that SolveIt! is " still
surprisingly fast." And syndicated computer columnist, Michael J.
Himowitz said that "SolveIt! is solid, utilitarian software that
can solve simple and complex problems for business operators,
business students and home users with no hassles..."
Call Pine Grove Software at (800) 242-9192 for additional
information.
19
BondCalc! 1.0 (c) Pine Grove Software
PINE GROVE SOFTWARE
Pine Grove Software was founded in 1984. AmortizeIt!,
MoneyCalc!, RentIt!, BondCalc!, Budget Plus! and SolveIt!, The
Financial Calculator, are our six software packages. We offer
custom programming services as well as modification of our
programs for your use.
Pine Grove Software
67-38 108th St., Suite D-1
Forest Hills, NY 11375 USA
(800) 242-9192 or (718) 575-9192
20
BondCalc! 1.0 (c) Pine Grove Software
OTHER PROGRAMS
SolveIt! is our flagship product. Our other programs at this
time are subsets of this program. They offer an even more econom-
ical way to buy just the routines that you need.
MoneyCalc! Includes FV, PV, IRR, NPV, ANNUITY calculator.
Budget Plus! Includes Budget & Net Worth routines.
RentIt! Includes RENTAL ANALYSIS, AFFORDABLE HOUSE, 2 MORT
As of November 1991, each of the above programs sells for $50
plus $5 for shipping except for SolveIt! which sells for $90 plus
$5 shipping. After you register a program with us you will
automatically receive the next upgrade at no charge.
21
BondCalc! 1.0 (c) Pine Grove Software
REFERENCES
Haim Levy & Marshall Sarnat, Capital Investment & Financial
Decisions, Prentice/Hall International, 1978
Hewlett-Packard Business Calculator Owner's Manual, HP-10B, Business Calculator Owner's Manual
Edition 2, June 1989
Shillinglaw, Gordon, and Ronen, Accounting, A Management Approach
Trost, Stanley R., Useful Basic Programs for the IBM PC, SYBEX
1983
22
BondCalc! 1.0 (c) Pine Grove Software
INDEX
"CALC" . . . . . . . . . 16 Selecting From the Men 5
"DO-IT!" . . . . . . . . 7 Settlement Date . . 12
"Out-of-Range" . . . . . 16 SolveIt! . . . . . 19
<Ctrl> . . . . . . . . . 6 Starting BondCalc! . 4
<Esc> . . . . . . . . . . 6 Tax Bracket . . . . 14
<F1> . . . . . . . . . . 6 unzip . . . . . . . . 2
<F3> . . . . . . . . . . 6 Values . . . . . . 14
<F4> . . . . . . . . . . 6 Yield-to-Call . . . 14
<F5> . . . . . . . . . . 7 Yield-to-Maturity . 13
<F9> . . . . . . . . . . 7 Yields . . . . . . 11
<tab> . . . . . . . . . . 7
Accrued Interest . . . . 15
Bonds . . . . . . . . . . 11
Bonds /G . . . . . . . . 4
Bonds /I . . . . . . 4, 17
Call Date . . . . . . . . 12
Call Price . . . . . . . 12
Color Picker . . . . . . 17
Compounding . . . . . . . 13
Coupon Rate . . . . . . . 11
Current Price . . . . . . 11
Current Yield . . . . . . 13
Day's Per Year . . . . . 13
Default Subdirectory . . 18
Description . . . . . . . 13
Desired Yield . . . . . . 15
Entering/Editing . . . . 10
Expand . . . . . . . . . 2
FV . . . . . . . . . . . 15
Help with help . . . . . 9
Important keys . . . . . 6
Inflation rate . . . . . 15
Initial install . . . . . 3
Installation . . . . . . 2
Interpolated . . . . . . 14
Maturity Date . . . . . . 12
Messages . . . . . . . . 16
Other options . . . . . . 17
Par Value . . . . . . . . 12
Pine Grove Software . . . 20
Premium . . . . . . . . . 14
Purchasing Power . . . . 15
References . . . . . . . 22
Rodreguez . . . . . . . . 14
Routines of BondCalc! . . 11
Rule-of-Thumb . . . . . . 14
Save Changes & Quit . . . 18
23
NOTES:
Since the manual was written, we made a change in the
Yield-to-Maturity and the Yield-to-Call calculations. We
said that we were using a Rule-of-Thumb method. This has
been changed so that we are now using the more conventional
method, i.e. Interpolation. This results in a slight
decrease in performance depending on the computer hardware
that is used.