Question

Find the value of 12%, 1000 par value bond with a maturity period of 10 years and required rate of return of 13%

Answer 1

Explanation:

➡️ The maturity value formula is V = P x (1 + r)^n. You see that V, P, r and n are variables in the formula. V is the maturity value, P is the original principal amount, and n is the number of compounding intervals from the time of issue to maturity date. The variable r represents that periodic interest rate.