### What is fair value of bond using Excel to calculate.

A $1,000 face value bond has a remaining maturity of 10 years and a required return of 9%. The bond's coupon rate is 7.4%. What is the fair value of this bond? Using a financial calculator: Number of years (N) = 10, future value (FV) = 1000, interest rate (I/YR) = 9 To calculate the annual payment: 0.074 * 1000 = 74