Exercise A For the following bonds Calculate current yield and approximate yield to maturity Issuer coupon rate last price maturity rate P Morgan AAPL GM 6.375% 5.25% 7.25% 6.15% 100.25 101.25 97.25 98.25 2034 2040 2029 2031 Which bonds return is better? Which bond is more risky? Exercise B Calculate: Price weighted index for days 1 to 4 Value weighted index for days 1 to 4 (Day 1 index assigned is 100) Day 1 Stock price shares WBA 63.73 1.18 Bilions PFE 42.8 5.551 Billions DWDP 54.54 2.255 Billions CSCO 54.65 4.4 Billions WMT 97.84 2.87 Billions NKE 84.99 1.573 Billions Day 2 price shares 63 1.181 43 5.552 55 2.256 53 982.88 84 1.574 4.41 Day 3 A 3 X 1 stock split in WBA occurred Stock price shares WBA 21.5 3.54 Billions PFE 43.5 5.551 Billions DWDP 56.2 2.255 Billions CSCO 54.1 4.4 Billions WMT 97.1 2.87 Billions NKE 28.5 4.613 Billions Day 4 price shares 22 3.541 44.1 5.553 57.2 2.257 55 4.41 99 2.88 29 4.615 Exercise A For the following bonds Calculate current yield and approximate yield to maturity Issuer coupon rate last price maturity rate P Morgan AAPL GM 6.375% 5.25% 7.25% 6.15% 100.25 101.25 97.25 98.25 2034 2040 2029 2031 Which bonds return is better? Which bond is more risky? Exercise B Calculate: Price weighted index for days 1 to 4 Value weighted index for days 1 to 4 (Day 1 index assigned is 100) Day 1 Stock price shares WBA 63.73 1.18 Bilions PFE 42.8 5.551 Billions DWDP 54.54 2.255 Billions CSCO 54.65 4.4 Billions WMT 97.84 2.87 Billions NKE 84.99 1.573 Billions Day 2 price shares 63 1.181 43 5.552 55 2.256 53 982.88 84 1.574 4.41 Day 3 A 3 X 1 stock split in WBA occurred Stock price shares WBA 21.5 3.54 Billions PFE 43.5 5.551 Billions DWDP 56.2 2.255 Billions CSCO 54.1 4.4 Billions WMT 97.1 2.87 Billions NKE 28.5 4.613 Billions Day 4 price shares 22 3.541 44.1 5.553 57.2 2.257 55 4.41 99 2.88 29 4.615