Company OMEGA wants to invest in Bonds and Stocks. As the the financial manager of the...

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Company OMEGA wants to invest in Bonds and Stocks. As the the financial manager of the company, you started looking at different types of Bonds and Stocks. After studying the market, you decided to choose 3 bonds and 3 stocks according to the following: Bonds: You decided to buy different numbers from each of the following bonds. All bonds pay annual coupon Bond Number of Bonds Face Value Coupon rate YTM 4.3% 7.8% A 29 1000 2000 B 26 C 22 3000 X Y Z Type Discount Bond Par Bond Premium Bond 1600 Stocks: You decided to buy different numbers from each of the following stocks. Stock Dividends Type Growth Dividends 0 Number of Stock Required Return 12% 1900 2500 11% 9.4% Zero Growth Constant Growth Constant Growth 5.2% 16% 6% Maturity 16 years 17 years 13 years 5% 3.8 2 Dividends 1 1.8 Calculate the total amount of investment the company needs in order to buy the 3 bonds and the 3 stocks. Total Amount Company OMEGA wants to invest in Bonds and Stocks. As the the financial manager of the company, you started looking at different types of Bonds and Stocks. After studying the market, you decided to choose 3 bonds and 3 stocks according to the following: Bonds: You decided to buy different numbers from each of the following bonds. All bonds pay annual coupon Bond Number of Bonds Face Value Coupon rate YTM 4.3% 7.8% A 29 1000 2000 B 26 C 22 3000 X Y Z Type Discount Bond Par Bond Premium Bond 1600 Stocks: You decided to buy different numbers from each of the following stocks. Stock Dividends Type Growth Dividends 0 Number of Stock Required Return 12% 1900 2500 11% 9.4% Zero Growth Constant Growth Constant Growth 5.2% 16% 6% Maturity 16 years 17 years 13 years 5% 3.8 2 Dividends 1 1.8 Calculate the total amount of investment the company needs in order to buy the 3 bonds and the 3 stocks. Total Amount

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Formulas 1 2 3 456789 9 10 11 N 1 W Bond A B 2 3 4 5 6 7 Stock X Y Z 8 12 13 14 Total amo... View the full answer