PLEASE SHOW THE CALCULATION

1. You have decided to evaluate the following bonds to include in your portfolio:

	Bond 1	Bond 2	Bond 3
Settlement Date	3/15/2018	9/1/2018	7/15/2018
Maturity Date	1/15/2028	7/1/2038	9/15/2048
Frequency	4	2	2
Face Value	$1,000	$1,000	$1,000
Coupon Rate	7.00%	9%	12%
Required Return	9.00%	12%	14%

1. Determine the invoice price, the accrued interest, and the quoted price of each bond. Find the quoted price as the difference between the invoice price minus the accrued interest and verify this result using the PRICE function.
2. Determine the yield to call on these bonds if the time to first call and the call premium for each one of them are the following:
3. Determine the duration, modified duration, and convexity of these bonds.

	Bond A	Bond B	Bond C
Call Premium %	2.00%	3.00%	4.00%
Call Date	7/15/2021	9/1/2022	1/15/2023

Create a chart that shows the relationship of theses bonds convexity to your required return. Use a range of 1% to 15% in calculating the convexity.v=