Commercial Paper Calculator

Calculate yields and pricing for commercial paper, a short-term unsecured debt instrument issued by corporations.

Commercial Paper Details

$
%
days

Commercial Paper is unsecured short-term debt (up to 270 days) issued by highly-rated corporations at a discount to face value.

Purchase Price
$986,875
Dollar Discount
$13,125

Bond Equivalent Yield

5.394%

annualized return (365-day basis)

Yield Comparison

Bank Discount Yield5.250%
Money Market Yield5.320%
Bond Equivalent Yield5.394%
Effective Annual Yield5.504%

Transaction Summary

Face Value$1,000,000
Days to Maturity90 days
Holding Period Return1.330%
Est. Savings vs Bank Loan$2,433