Calculate the price of a bond using the Excel PV function.

B A D E 1 On January 1, Ruiz Company issued bonds as follows: 2 Face Amount $ 500,000 3 Number of Years: 15 4 Stated Interest Rate: 8% 5 Interest payments per year 2. 6 (Note: the bonds pay interest semi-annually.) 7 8 Required: 91) Given the different market interest rates below, calculate the following items. 10 Calculate the bond selling price USING THE EXCEL PV FUNCTION (fx). Note: Enter all 11 function arguments as cell references. 12 13 a) Market Interest Rate: 9% 14 Semi-annual interest payment: $ 20,000 15 Bond Selling Price: 16 17 b) Market Interest Rate: 6.0% 18 Semi-annual interest payment: $ 20,000 19 Bond Selling Price: 20 21 2. Use the Excel IF function to answer either "Premium" or "Discount" to the following items. 22 23 The bond in (a) sold at a: 24 The bond in (b) sold at a