# I am struggling to work out this bond formula

What is the price of an annual coupon bond with 10 years to maturity, 8% coupon rate, if yield to maturity is 9%?

I can’t seem to work it out right. • How are you trying to calculate it? Essentially you have to discount each cash flow to the present using the yield to maturity. – D Stanley Dec 27 '19 at 21:33
• 1.What is the price of an annual coupon bond (face value = 1000) with 10 years to maturity, 8% coupon rate, if yield to maturity is 9%?=80×(1/9%―1/9%×(1+9%)power10)+1000/(1+9%)power10 =9 35.82... so I have this solution from one of my lecture slides but when I enter it in my calculator I get a totally different answer. What am I doing wrong? – Tee Dec 27 '19 at 21:40
• Are you using negative exponents? (it's hard to tell from the lack of formatting) – D Stanley Dec 27 '19 at 21:46
• ibb.co/kXFx2P6 Please check this out. I am trying to understand the formula and I am in my first year of University which is why I’m struggling a bit. – Tee Dec 27 '19 at 21:51
• The formula is right. I suspect you are not entering it into your calculator correctly. – D Stanley Dec 27 '19 at 21:53