On January $1,$ Ruiz company issued bonds as follows:

$($Note: the bonds pay interest semi$-$annually.$)$

Required:

Given the different market interest rates below, calculate the following items.

Calculate the bond selling price USING THE EXCEL PV FUNCTION $($fx$).$ Note: Enter all

function arguments as cell references.

a$)$ Market Interest Rate:

Semiannual Interest Payment:

Bond Selling Price:

b$)$ Market Interest Rate:

Semiannual Interest Payment:

Bond Selling Price:

Use the Excel If function to answer either "Premium" or "Discount" to the following items.

The bond in $($a$)$ sold at a:

The bond in $(b)$ sold at $a$ :