Assignment

The project is spreadsheet problems solving. It is necessary to turn in soft copy of the excel solution. It should be well organized and easy to follow.

Question 1 A Treasury bond that settles on August 10, 2013, matures on April 15, 2018. The coupon rate is 4.5 percent and the quoted price is 106:17. What is the bonds yield maturity?

Question 2 A bond that settle on June 7, 2013, matures on July 1, 2033, and may be called at any time after July, 2023, at a price of 105. The Coupon rate on the bond is 6 percent and the price if 115.00.what is the yield to maturity and yield to call on this bond?

Question 3 A treasury bond that settles on October 18, 2013, matures on March 30, 2032. The coupon rate is 5.3 percent and the bond has a 4.45 yield to maturity. What are the Macaulay duration and modified duration?

Question 4 A treasure bill that settles on May 18, 2012, pays $100,000 on August 21, 2012. Assuming a discount rate of 0.44 percent, what is the price and bond equivalent yield?

Question 5 You have a car with a nominal rate of 5.99 percent. With interest charged monthly, what is the effective annual rate (EAR) on this loan?

Subject-Investment Mnagement