System of Five

BOND PRICING Bond Variables

Annual Percentage Ra

Inputs
Rate Convention: 1 = EAR, 0 = APR 0
Annual Coupon Rate (CR) 5.0%
Yield to Maturity (Annualized) (y) 9.0%
Number of Payments / Year (NOP) 2
Number of Periods to Maturity (T) 8
Face Value (FV) $1,000
Discount Rate / Period (RATE) 4.5%
Coupon Payment (PMT) $25
Bond Price (P0) $868.08

(1) Number of Periods to Maturity (T)

Number of Periods to Maturity using the NPER Function 8

(2) Face Value (FV)

Face Value using the FV Function $1,000.00
Face Value using the Formula $1,000.00

(3) Find Discount Rate / Period (RATE)

Discount Rate / Period using the RATE Function 4.5%

(4) Coupon Payment (PMT)

Coupon Payment using the PMT Function $25.00
Coupon Payment using the Formula $25.00

(5) Bond Price (P0)

Bond Price using the P0 Function $868.08
Bond Price using the Formula $868.08
nual Percentage Rate