Net present value of bond

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Querist : Anonymous (Querist)
25 December 2013 A PSU is proposing to sell 8 years bond of 1000/- @10% coupon rate per annum. The bond amount will be amortised equally over its life. If an investor has a minimum required rate of return of 8%. What is bond's present value??

hii kindly give the solution of the sum.


25 December 2013 Int 100(PVAF 8%,5 YEARS) +1000(PVAF for 8th year)=vALUE OF BOND.


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