Final answer:
The Maturity Value (MV) of a bond is obtained by adding the face amount with all the interest payments received throughout the life of the bond.
Step-by-step explanation:
In financial terms, the Maturity Value (MV) of a bond can be calculated using the formula: MV = Face Amount + All Interest
This means that the maturity value is obtained by adding the face amount (the amount the borrower agrees to pay the investor at maturity) with all the interest payments received throughout the life of the bond. It is important to note that the interest payments are typically calculated using the bond's coupon rate or interest rate, which is usually a fixed percentage of the face amount.
So, to determine the maturity value of a bond, simply add the face amount of the bond to the total amount of interest earned over the bond's term.