Question: Please use excel and add formulas Spreadsheet Exercise: Problem 11.18 CSM Corporation has a bond issue outstanding that has 15 years remaining to maturity and

Please use excel and add formulas
Spreadsheet Exercise: Problem 11.18 CSM Corporation has a bond issue outstanding that has 15 years remaining to maturity and carries a coupon rate of 6%. Interest on the bond is paid on a semiannual basis. The par value of the CSM bond is $1,000, and it is currently selling for $874.42. Complete the steps below using cell references to given data or previous calculations. In some cases, a simple cell reference is all you need. To copy paste a formula across a row or down a column, an absolute cell reference or a mixed cell reference may be preferred. If a specific Excel unction is to be used, the directions will specify the use of that function. Do not type in numerical data into a cell or function. Instead, make a eference to the cell in which the data is found. Make your computations only in the blue cells highlighted below. In all cases, unless otherwise directed, use the earliest appearance of the data in your formulas, usually the Given Data section. Number of years to maturity Coupon interest rate Par value Current bond price 15 6% $1,000 $874.42 To Do a. What is the bond's yield to maturity? b. What would the price be if the yield to maturity were 2% higher than in part a? C. What would the price be if the yield to maturity were 2% lower than in part a? Solution a. What is the bond's yield to maturity? $60 Semiannual interest payment Number of periods to maturity Semiannual yield to maturity Annual yield to maturity b. What would the price be if the yield to maturity were 2% higher than in part a? 1.00% Semiannual yield to maturity Current bond price c. What would the price be if the yield to maturity were 2% lower than in part a? -1.00% Semiannual yield to maturity Current bond price
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