[Hoarfrost]

Hello, I am calculating a semiannual coupon on :Bond Valuation.

I divided the interest by 2, ( 9% / 2 = 4.5%).
I also multiply the maturity yrs by 2 (11 *2 = 22)
Under the Present value of annuity table, I cannot find an interest of 4.5% and a maturity year of 22.

What should I do? Do I take the nearest number to each like 5% and 25 yrs? I need your help.

[morgaine300]

If you want to do it correctly, you should not use the closest numbers. If this problem is in the book and they are only having you use charts, they should not have included such a problem. If the instructor did it, sometimes they just don't think these things out ahead of time, and using the closest number, or averaging two numbers, may be acceptable to the instructor. But you will only know that by checking with the instructor. (They should say so, and not leave you wondering what to do! )

This can be done using algebraic equations, Excel or a financial calculator, but I hate to delve into that if you've only been using charts... in which case you should not have to do it by another method.