Question: ALL SUBMISSIONS SHOULD BE IN EXCEL WORKSHEET Problem 1: Michigan Electric Company Bonds Face Value $1,000 Coupon Rate 6.00% Frequency 2 (Semi-Annual Interest Payments) Maturity

ALL SUBMISSIONS SHOULD BE IN EXCEL WORKSHEET

Problem 1:

Michigan Electric Company Bonds

Face Value $1,000 Coupon Rate 6.00% Frequency 2 (Semi-Annual Interest Payments) Maturity (Years) 15 Yield to Maturity 6.80%

Given the yield to maturity; Calculate the price of the bond using PV function in Excel

Problem 2:

Bond Valuation

Time to Maturity (Years)

15

Coupon Rate

6.50%

Price

$897.25

Frequency

2 (Semi-Annual)

Face Value

$ 1,000

Given the price; Calculate the yield to maturity (YTM) for the bond in Excel Use RATE function

Problem 3

GGGGGG

Settlement Date

02/15/20

Maturity Date

02/15/30

Coupon Rate

6.00%

Required Return (YTM)

7.00%

Face Value

$1000

Frequency

2

Semi-Annual Interest Payment

Basis

0

Given the yield to Maturity; calculate the price of the bond using PRICE function in Excel

Problem 4:

Coupon Rate

8%

Settlement Date

02/15/20

Maturity Date

02/15/30

Price of the bond

$900.00

Face Value

$1000

Frequency

2

Semi-Annual Interest Payment

Basis

0

Given the price of the bond calculate the Yield to maturity using YIELD function in Excel.

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