2. After recently receiving a bonus, you have decided to add some bonds to your investment portfolio. You have narrowed your choice down to the following bonds (assume semiannual payments): Settlement Date Maturity Date Coupon Rate Market Price Face Value Required Return Bond A 8/15/2020 2/15/2031 5.00% $975 $1,000 5.35% Bond B 8/15/2020 11/15/2040 6.50% $1,062 $1,000 5.90% Bond C 8/15/2020 12/15/2050 7.60% $1,103 $1,000 7.5096 any a. Using the PRICE function, calculate the intrinsic value of each bond. Are of the bonds currently undervalued? How much accrued interest would you b. Calculate the current yield of each bond. Is this the total return that you would eam each year? If you were on a fixed income, would you care about have to pay for each bond? this number? C. Using the Yield function, calculate the yield to maturity of each bond using the current market prices. How do the YTMs compare to the current yields of the bonds? 2. After recently receiving a bonus, you have decided to add some bonds to your investment portfolio. You have narrowed your choice down to the following bonds (assume semiannual payments): Settlement Date Maturity Date Coupon Rate Market Price Face Value Required Return Bond A 8/15/2020 2/15/2031 5.00% $975 $1,000 5.35% Bond B 8/15/2020 11/15/2040 6.50% $1,062 $1,000 5.90% Bond C 8/15/2020 12/15/2050 7.60% $1,103 $1,000 7.5096 any a. Using the PRICE function, calculate the intrinsic value of each bond. Are of the bonds currently undervalued? How much accrued interest would you b. Calculate the current yield of each bond. Is this the total return that you would eam each year? If you were on a fixed income, would you care about have to pay for each bond? this number? C. Using the Yield function, calculate the yield to maturity of each bond using the current market prices. How do the YTMs compare to the current yields of the bonds