ACCRINTM function in excel is a financial function. It is used to find accrued interest for a security that pays interest at maturity. It is a worksheet function and can be entered in the cell in which value is required.
=ACCRINTM(issue_date, maturity_date, rate, par, basis)
Issue_Date: It is the date on which security is used.
Maturity_Date: It is the date on which security will be matured.
Rate: Annual coupon rate of the security.
Par: It is the par value of the security. Default value is $1000.
Basis: It is the type of day count basis to be used.
- Microsoft Excel stores dates as serial numbers . By default, January 1, 1900 is serial number 1 and corresponding dates have serial number greater than 1.
- Issue and basis are converted to integers.
- If issue_date is not in valid format, #VALUE error is returned.
- If Rate and Par are less than or equal to zero, #NUM error is displayed.
- If Basis is less than or equal to zero, #NUM error is displayed.
- Calculation of ACCRINTM is done according to formula: par × rate × A/D
In this example, various arguments are entered in column A and their values are entered in column B and ACCRINTM function is used to retrieve the result in column D. Formula used for calculation is: par × rate × A/D