8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 A Market Price (PV) $ Coupon Rate Maturity (Years) Payment Frequency (M)= Semi- Annual Annual YTM Annual Duration Annual Modified Duration Change in Price Percentage Change in Price B 1,000.00 1.65% 5 #DIV/0! #DIV/0! Years #DIV/0! Years #DIV/0! #DIV/0! % N 1 2 3 4 5 6 7 8 9 10 W D PMT E F H PVCF"N Probability Semi-Annual #DIV/0! #DIV/0! PVCF CF #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #REF! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! Duration #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! K 32 33 1. Compute YTM 34 35 36 37 38 39 40 41 42 2. Compute Duration 43 44 45 46 47 A 51 52 FV= PV = PMT= N*M= Semi Annual YTM Annual YTM A. Annual Duration (from Table) B. Annual Duration C. Semi - Annual Duration 48 3. Compute Modified Duration (MD) 49 50 A. Annual Modified Duration B. Semi - Annual Modified Duration B #DIV/0! 0 #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! D E F G H J 4U 41 42 2. Compute Duration 43 44 A 56 57 58 45 46 47 48 3. Compute Modified Duration (MD) 49 50 51 52 59 60 61 62 63 Alllival I LIVE A. Annual Duration (from Table) B. Annual Duration C. Semi - Annual Duration 53 increase in interest rate) 54 55 A. Annual Modified Duration B. Semi - Annual Modified Duration 4. Change in Price (150 basis point Percentage Change in Price B #DIV/U: #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! Change in Price #DIV/0! 1.5% Beginning Price FV $ PV $ C #DIV/0! % D FV CPT PV PMT N CPT YTM #DIV/0! YTM #DIV/0! PMT E Ending Price $ #DIV/0! #DIV/0! 0 #DIV/0! F G H J 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 A Market Price (PV) $ Coupon Rate Maturity (Years) Payment Frequency (M)= Semi- Annual Annual YTM Annual Duration Annual Modified Duration Change in Price Percentage Change in Price B 1,000.00 1.65% 5 #DIV/0! #DIV/0! Years #DIV/0! Years #DIV/0! #DIV/0! % N 1 2 3 4 5 6 7 8 9 10 W D PMT E F H PVCF"N Probability Semi-Annual #DIV/0! #DIV/0! PVCF CF #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #REF! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! Duration #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! K 32 33 1. Compute YTM 34 35 36 37 38 39 40 41 42 2. Compute Duration 43 44 45 46 47 A 51 52 FV= PV = PMT= N*M= Semi Annual YTM Annual YTM A. Annual Duration (from Table) B. Annual Duration C. Semi - Annual Duration 48 3. Compute Modified Duration (MD) 49 50 A. Annual Modified Duration B. Semi - Annual Modified Duration B #DIV/0! 0 #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! D E F G H J 4U 41 42 2. Compute Duration 43 44 A 56 57 58 45 46 47 48 3. Compute Modified Duration (MD) 49 50 51 52 59 60 61 62 63 Alllival I LIVE A. Annual Duration (from Table) B. Annual Duration C. Semi - Annual Duration 53 increase in interest rate) 54 55 A. Annual Modified Duration B. Semi - Annual Modified Duration 4. Change in Price (150 basis point Percentage Change in Price B #DIV/U: #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! Change in Price #DIV/0! 1.5% Beginning Price FV $ PV $ C #DIV/0! % D FV CPT PV PMT N CPT YTM #DIV/0! YTM #DIV/0! PMT E Ending Price $ #DIV/0! #DIV/0! 0 #DIV/0! F G H J
Expert Answer:
Answer rating: 100% (QA)
It appears that the spreadsheet you provide is meant to compute the characteristics of bonds and how sensitive they are to changes in interest rates Lets go over how to complete it and the meaning of ... View the full answer
Related Book For
Microsoft Excel Data Analysis And Business Modeling
ISBN: 9780137613663
7th Edition
Authors: Wayne Winston
Posted Date:
Students also viewed these finance questions
-
The following data from the just completed year are taken from the accounting records of Kenton Company: Sales $975,000 Direct labor cost $165,000 Raw material purchases $229,000 Selling expense...
-
Quantitative Problem: Potter Industries has a bond issue outstanding with an annual coupon of 6% and a 10-year maturity. The par value of the bond is $1,000. If the going annual interest rate is 8%,...
-
Louis Sdn Bhd exported goods worth SGD350,000 to a company in Singapore. The term of payment is through a 90-day term draft undertaken by Vuiton Bank. The current discount rate on 90 days acceptance...
-
Given the following points: 2,4,10,12,3,20,30,11,25. Assume k = 3, and that we randomly pick the initial means 1=2, 2=4 and 3=6. Show the clusters obtained using K-means algorithm after one...
-
Table 2-13 (found on the textbook's Web site) gives data on real GDP (V) and civilian unemployment rate (X) for the United States for period 1960 to 2006. a. Estimate Okun's law in the form of Eq....
-
How can a manager double-check the ethics of a decision?
-
Alina Sadofsky, who operates a small grocery store, has established the following policies with regard to the checkout cashiers: 1. Each Cashier has his or her own cash drawer, to which no one else...
-
Anthony and Karen were partners doing business as the Petite Garment Company. Leroy owned a dye plant that did much of the processing for the company. Anthony and Karen decided to offer Leroy an...
-
The Down and Out Co. just issued a dividend of $2.46 per share on its common stock. The company is expected to maintain a constant 4 percent growth rate in its dividends indefinitely. If the stock...
-
In 1738, J. Bernoulli investigated the St. Petersburg paradox, which works as follows. You have the opportunity to play a game in which a fair coin is tossed repeatedly until it conies up heads. If...
-
The standards for product G78V specify 4.8 direct labor-hours per unit at $13.00 per direct labor-hour. Last month 1,670 units of product G78V were produced using 8,050 direct labor-hours at a total...
-
Wally Co. reported the following financial data for its most current year: Compute Wally's end-of-year total stockholders' equity. Beginning-of-year common stock.. Beginning-of-year retained earnings...
-
The following data (and annotations) are related to the June 2016 charges appearing in the work in process account for Sutter Companys first processing department:: Sutter uses the FIFO method....
-
Let X 1 ,,X n be a random sample from a Poisson() distribution. a. Find the likelihood equation, L(x 1 ,,x n ;), using as the PMF. b. Find the log likelihood function and use that to obtain the MLE...
-
Consider \(n\) independent random variables \(U_{1}, U_{2}, \ldots, U_{n}\), each of which obeys a Cauchy density function, \[ p_{U}(u)=\frac{1}{\pi \beta\left[1+\left(\frac{u}{\beta} ight)^{2}...
-
Find the area to the right of 46.979 under the chi-square distribution with 30 degrees of freedom.
-
John Johnson owns a garage and is contemplating purchasing a tire retreading machine for $10,500. After estimating costs and revenues, John projects a net cash inflow from the retreading machine of...
-
For a Poisson process of rate , the Bernoulli arrival approximation assumes that in any very small interval of length , there is either 0 arrivals with probability 1- or 1 arrival with probability ....
-
Consider two projects with the following cash flows: For what rate of interest will Project 1 have a larger NPV? Project 1 Project 2 Year 1 -$1,000 -$900 Year 2 $400 $100 Year 3 $350 $100 Year 4 $400...
-
Suppose the number of Group 1 members is listed in cell B1, the number of Group 2 members is listed in cell B2, and the number of Group 3 members is listed in cell B3. The total number of group...
-
The Moore.xlsx workbook gives the number of transistors per integrated circuit for the years 19742014. The famous Moores Law states that chip capacity doubles approximately every two years. Is this...
-
Discuss the ethical choices in the situations below. In each instance, describe the ethical dilemma, determine the alternative courses of action, and tell what you would do. 1. You are the payroll...
-
The summer after finishing her junior year in college, Beth Murphy started a lawn service business in her neighborhood. On June 1, she deposited $2,700 in a new bank account in the name of her...
-
H&R Block, Inc. is a well-known income tax services firm. Information for 2004 and 2003 from the companys annual report is presented below.16 (All numbers are in thousands.) Three students who were...
Study smarter with the SolutionInn App