Compute the portfolio yield to maturity using the internal rate of return approach.

Problem $4$

Using Problem $3$ data, compute Macaulay duration and modified duration of each bond given the

alternative rate of return being $7\mathrm{.}00\%.$

Problem $5$

Using Problem $3$ and Problem $4$ data, compute convexity of these bonds.

Problem $6$

Assume you are constructing a portfolio of bonds described in Problem $3.$ Compute this portfolio

duration and convexity.