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1. FIND THE PRICE OF A BOND USING EXCEL AND THE DISCOUNTED CASH FLOW MODEL GIVEN THE FOLLOWING INFORMATION Face value (PRINCIPAL REPAYMENT) $1,000 Coupon

1. FIND THE PRICE OF A BOND USING EXCEL AND THE DISCOUNTED CASH FLOW MODEL GIVEN THE FOLLOWING INFORMATION

Face value (PRINCIPAL REPAYMENT) $1,000

Coupon Rate 4%

Coupon payment Face value x coupon rate $40

Yield to maturity 4.50%

Number of periods 4

Show your work

2. FIND THE YIELD TO MATURITY OF A BOND USING EXCEL AND THE DISCOUNTED CASH FLOW MODEL GIVEN THE FOLLOWING INFORMATION

Face value (PRINCIPAL REPAYMENT) $1,000

Coupon rate 4%

Coupon payment $40

Number of periods 4

Bond price USE THE PRICE FROM NUMBER 1

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