PLEASE ANSWER PROBLEMS 1,2,3, and 4 on Microsoft Excel and SHOW FORMULAS. Thanks!

Please answer problems 1,2,3, and 4 on Microsoft Excel and SHOW FORMULAS. Thank you! A l wants to obtain the DEAR on its trading portfolio. The portfolio consists of the following securities Fond-income securities: 1. The Fl has a $1 million position in a six-year, zero coupon bond with a face value of $1,543,302. The bond is trading at a yield to maturity of 7.50 percent. The historical mean change in daily yields is 0.0 percent and the standard deviation is 22 basis points 2. (B) The FI also holds a 12-year, wro-coupon bond with a face value of $1,000,000. The bond is trading at a yield to maturity of 6.75 percent. The price volatility of the potential adverse move in yields is 65 basis points. Foreign exchange contracts: The Fl has a 2.0 million long trading position in spot cures at the close of business on a particular day. The exchange rate is 0.80/51, or $1.25E, at the daily close. Looking back at the daily percentage changes in the exchange rate of the cure to dollars for the past year, the FI finds that the volatility or standard deviation () of the spot exchange rate was 55.5 basis points (pl. Equities: Correlations (esamong assets are as follows: The Fl holds a $2.5 million trading position in stocks that reflect the US stock market Index (le, the S&P 500). The 1. Over the last year, the standard deviation of the stock market Index was 175 basis points 6-Year Zero Coupon 12-Year Zero Coupon C/5 U.S. Stock Index 0.00 6you, zero coupon 12 year coupon 025 US Dock index Problem: 1. Calculate the DEAR of this trading portfolio 2. If the correlation matrix changes as follows, what will ceFT'S DEAR be? 6-Year Zero Coupon 2-Year US. Stock Index v ero coupon 3. If the standard deviation of the stock market indes increases to 325 has pot what will the FTDEAR be? Use the original correlation matrix 4. If the FI's FX posities were changed to 64. what the FI DEAR he