The first thing that comes to mind is: recapitulate this equation in Excel
and set Y to some value, say, 1, and then instruct Solver to solve the
equation to equal 104.21 by chaning the value in the cell that you set as Y =
1

Dave
--
Brevity is the soul of wit.


"Josh P." wrote:

Hello, my question deals with solver and exponents in excel. This may be too
technical but I'll give it a try. I'm using solver for calculating zero rate
or "spot rate" bond yields. Instead of using periodic interest rates you
have to use continuous compounding. Here is the formula with the numbers
inputed and I'll use "Y" as the variable to solve for:

4(EXP-(Y*.5)) +4(EXP-(Y*1))+4(EXP-(Y*1.5))+104(EXP-(Y*2.0))

all of this must equal 104.21 when the equation is solved out. My teacher
showed us the answer in class but didn't go over the technique cause he
assumed we could figure it out. I'm unsure of how to do it with solver. Any
help would be greatly appreciated and I'll be glad to answer any questions.
Thanks