Effective date Yield To Worst Index Return in Kwacha ( 1 year bond) Index Coupon rate ( 1 Year bond annualised) 8/17/2020 30.71% 460.64 35.86% 8/18/2020 30.71% 461 35.86% 8/19/2020 30.71% 461.64 35.86% 8/20/2020 30.71% 462 35.86% 8/21/2020 31.36% 458.46 35.86% 8/24/2020 31.36% 459.21 35.86% 8/25/2020 31.36% 459.54 35.86% 8/26/2020 31.36% 460.19 35.86% 8/27/2020 31.36% 460.56 35.86% 8/28/2020 31.36% 460.98 35.86% 8/31/2020 30.94% 464.38 35.86% Required 1. Calculate the index bond price from 8/17/2020 to 8/16/2021 (Complete the solutions in the blue shaded column ) 2. Calculate the PV bond price if you invested K35, 000 in the bond that has a face value of K100 on 8/17/2020 and maturing on 8/16/2021. The coupon is paid annually.( Show all the workouts on this work sheet) 3. Explain why the yield (denoted as yield to worst) recorded on 8/17/2020 is different to

the value recorded on 8/16/2021