MS Excel: RECEIVED function to calculate maturity amount

In the world of fixed-income investing, discount instruments like Treasury bills and commercial paper are sold below face value and mature at full par. To calculate the maturity amount for such investments, Excel offers the RECEIVED function—a simple yet powerful tool for financial professionals, investors, and analysts.

This article explains how to use the RECEIVED function, where it applies, and how it supports financial modeling for short-term investments.

The RECEIVED function returns the amount to be received at maturity for a fully discounted security, given the purchase discount rate, settlement date, and maturity date.

It assumes no interest is paid during the life of the security, and all returns are embedded in the difference between the purchase price and the face value.

Syntax

=RECEIVED(settlement, maturity, investment, discount, [basis])

Parameter Breakdown:

Argument	Description
settlement	The date the security is purchased.
maturity	The maturity (end) date of the security.
investment	The amount initially invested (purchase price).
discount	The annual discount rate (e.g., 5% = 0.05).
basis	(Optional) Day-count basis: 0–4 (default is 0 = US 30/360).

Example: Treasury Bill Maturity Amount

Scenario: You purchase a T-bill on January 1, 2025 that matures on July 1, 2025, for $9,800 at a 4% annual discount. What will you receive at maturity?

=RECEIVED(DATE(2025,1,1), DATE(2025,7,1), 9800, 0.04)

Result: $10,000

The function calculates the maturity amount based on the time to maturity and the discount rate.

This function is particularly useful for:

• Short-term fixed-income investing

• Treasury bill pricing

• Discount note and commercial paper analysis

• Calculating yield on discount instruments

• Cash flow modeling for short-term securities

It’s especially useful for cash managers and treasury professionals who need to track and predict short-term investment outcomes.

Related Functions

Function	Use Case
PRICEDISC	Calculates the purchase price of a discount instrument
DISC	Returns the discount rate given price and maturity
YIELDDISC	Computes the yield for a discount security
RECEIVED	Computes maturity value (this function)

These functions are frequently used together to create robust models for money market investments and short-term debt portfolios.

Common Errors & Tips

Issue	Explanation
#NUM! error	Occurs if settlement ≥ maturity or negative discount/investment
#VALUE! error	Non-date inputs or invalid basis
Incorrect result	Ensure consistent day-count basis with your bond/investment data

Best Practices:

• Use the DATE() function to avoid regional date interpretation issues.

• Always check that settlement < maturity.

• Confirm basis matches your financial instrument's documentation (e.g., money market uses actual/360 or actual/365).

  
  

Summary Table

Feature	Value
Function Name	RECEIVED
Primary Use	Calculate maturity value of discount securities
Ideal For	Treasury bills, CPs, zero-coupon notes
Inputs Required	Settlement, maturity, investment, discount rate
Output	Maturity amount (typically $100 or $1,000 face value)

Final Thoughts

The RECEIVED function provides a fast and reliable way to calculate the face value return of short-term investments purchased at a discount. It's essential for bond traders, treasury analysts, and institutional investors managing liquidity or short-term portfolios.

Used alongside PRICEDISC and DISC, RECEIVED becomes part of a powerful trio of Excel functions for pricing and valuing money market securities.