Excel SIM: Bond Pricing using the Excel Present Value (PV) 1. Calculate the price of a bond using the Excel Present Value (PV) function. Bond Pricing - Excel FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In Calibri 11 - ' ' % M Paste BIU - - Alignment Number Clipboard G Font Conditional Format as Cell Formatting Table Styles Styles Cells Editing A1 < A fx On January 1, Ruiz Company issued bonds as follows: 1 On January 1, Ruiz Company issued bonds as follows: 2 Face Value: 3 Number of Years: 4 Stated Interest Rate: 5 Interest payments per year 6 (Note: the bonds pay interest semi-annually.) 7 8 Required: $ B 500,000 30 7% 2 D E F G H 9 1) 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 Semiannual Interest Payment: 15 Bond Selling Price: 16 17 b) Market Interest Rate: 18 Semiannual Interest Payment: 19 Bond Selling Price: 20 5.5% 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: READY ... Sheet1 Attempt(s) 4 + + 100% Hint Show Me