From text: What is the value of a 5-year 7% coupon bond that pays interest semi-annually assuming that the annual discount rate is 5%? My question is this: Is there an easy way to set payments so that the other parameters can stay the same (n=5, I/Y=5, PMT=7, FV=100), or do I absolutely have to change those numbers? I’ve been messing around with P/Y, but I can’t get the correct answer.

I don’t understand what is the problem. You can simply change the payment while other numbers stay as it is…

If you typed these"n=5, I/Y=5, PMT=7, FV=100" into calculator in order to get the solution you will surelly not get correct answer. Hint: semi-annual…

I understand that it’s semiannual; I’m wondering if I can get the correct answer while still using those inputs. In other words, is there a button the calculator that sets payments to semiannual? Or is my only option to alter those inputs accordingly?

You can change P/Y and C/Y (by 2nd I/Y and 2 Enter) to 2 in case of semiannual but the only difference is that you’ll be able to put I/Y = 5 instead of 2.5, N and PMT has still to be set to correct values, N=10, PMT =3.5 in order to obtain correct answer. That’s why most of ppl usually leave P/Y C/Y at 1 (as default) and make correction to I/Y.

That’s what I suspected. Thank you!