How to Calculate the Present Value of a Bond Concept of Discounting. Discounting lowers the value of future cash flows. Discount, Par and Premium. Bonds are issued with a stated interest rate Bond Value. Face Value (Fv): an amount to be paid on the day the bond matures. Solving in Excel. An Present value is the concept that states an amount of money today is worth more than that same amount in the future. In other words, money received in the future is not worth as much as an equal amount received today. Receiving $1,000 today is worth more than $1,000 five years from now. When payment starts immediately as opposed a year from now, the value [blank]. Finding the future value of something is also known as [blank]. Calculating the present value of something is known as [blank]. The U.S. government often uses bonds for funding because its income is less than its expenditures, meaning that it has a [blank blank].