Following the instructions laid out in the video, practice using a calculator to find the price of a bond under two scenarios. The first scenario should be when compounding periods are annual, or once a year, and the second scenario should be when compounding periods are semiannual, or once every six months.

Start out this exercise with the bond factor input variables that are used in the video: par value of $1,000, annual coupon rate of 4%, time to maturity of 10 years, and yield to maturity of 8%. Calculate the current value or price of the bond under both of the different compounding period scenarios.

Once you have arrived at the same results demonstrated in the video, practice calculating prices using different bond factor variables for inputs, changing time or years to maturity, coupon rate (and coupon payments), and yield to maturity until you are completely confident using a financial calculator to find the price or value of any bond.