TBILLEQ Excel Formula

Author Zaheer    Category Formulas     Tags ,

Microsoft Excel is one of the commonly used programs when it comes to organizing and saving data. Professionals who frequently used it are those who are engage with computation. This is because the program is a great tool for computation which made it simpler and easier. However, in order to efficiently use the program, the user must know the function associated with the program. When it comes to accounting and financial computation, one of the functions to be familiar with is TBILLEQ function.

What is TBILLEQ Function?

This is the function used to determine the bond yield equivalent for certain Treasury Bills discount rate. To effectively use the function, correct codes and syntax should be entered accordingly to obtain accurate result.

Treasury bill is considered as short period Government Security that is sold at a certain discount to its face value. There is no interest and redeemed at face value.  The function is utilized to compute the yield, which a certain bond would need to have, to provide growth equals to the Treasury bill. The bond is presume 365 days in every year and acquires interest only during the final term. The interest in this function is not compounded.

What is the TBILLEQ Function Formula?

The needed formula to enter on the Microsoft Excel worksheet is:

=TBILLEQ(settlement, maturity, discount)

To understand more the formula, below are the arguments:

  • settlement – this is the value of the treasury bill date. This is the exact date when the bill was bought.
  • maturity – this is the date when the bill get matured. The value of this should be higher than and within the year of the date of settlement.
  • discount – this is the treasury bill rate of discount.

With regards to the function, there are certain things to keep in mind to observe accurate result and some of them are as follows:

  • The arguments should be entered on the function as reference to cells that contains the date or dates revisited from certain formulas or functions.
  • Once the date is placed in the arguments as text then it could be misinterpreted because of the date setting and the date system of the computer.
  • The date could be entered on the function as serial numbers. But it is not advisable because the serial numbering of dates differ from every computer. There are computers that read and accept it while some don’t.


To figure out how the function is use you may study the example written below.

The Treasury bill was bought in August 25, 2011 which will mature on September 26, 2011 with a rate of discount was 9%, what would be the equivalent yield?


  • settlement – August 25, 2011
  • maturity – September 26, 2001
  • discount – 9% or 0.09

To use Excel program in solving the problem, the following are the procedures to make:

  • Open the Excel worksheet.
  • Type in the values from the given problem on the worksheet cell. The value should be keyed in on each cell.
  • Click the cell of the location of the answer.
  • On that cell, type in the formula and click the reference cell of the arguments within the formula.
  • After placing the required values, press the enter key.
  • The answer is 0.091986; therefore the equivalent yield is 9.2%

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