Suppose that General Motors Acceptance Corporation issued a bond with 10 years until maturity, a face value of $1,000, and a coupon rate of 7% (annual payments). The yield to maturity on this bond when it was issued was 6%. Assuming the yield to maturity remains constant, what is the price of the bond immediately before it makes its first coupon payment? Complete the steps below using cell references to given data or previous calculations. In some cases, a simple cell reference is all you need. To copy/paste a formula across a row or down a column, an absolute cell reference or a mixed cell reference may be preferred. If a specific Excel function is to be used, the directions will specify the use of that function. Do not type in numerical data into a cell or function. Instead, make a reference to the cell in which the data is found. Make your computations only in the blue cells highlighted below. In all cases, unless otherwise directed, use the earliest appearance of the data in your formulas, usually the Given Data section.
	Maturity (years)	10
	Face value	$ 1,000
	Coupon rate	7%
	Yield to maturity	6%
	Maturity (years)
	Today's coupon payment
	PV of remaining coupon payments after today
	Bond price
1	In cell D11, by using cell references, calculate the number of periods left on the bond.
2	In cell D12, by using cell references, calculate today's coupon payment of the bond.
3	In cell D13, by using the PV function calculate the present value of the remaining coupon payments after today. Note: The output of the expression or function you typed in this cell is expected as a positive number.
4	In cell D14, by using the cell references, calculate the price of the bond. Note: The output of the expression or function you typed in this cell is expected as a positive number.