The following general notation is used throughout these formulas, unless something different is specifically mentioned:

D | = | discount rate |

FV | = | future value, or future cashflow |

i | = | interest rate or yield per annum |

n | = | number of times per year an interest payment is made |

N | = | number of years or number of coupon periods |

P | = | price (dirty price for a bond) |

PV | = | present value, or cashflow now |

r | = | continuously compounded interest rate |

R | = | coupon rate paid on a security |

year | = | number of days in the conventional year |

z | = | zero-coupon yield for k years |

If the interest rate with n payments per year is i, the effective rate (equivalent annual rate) i* is:

Similarly:

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