3. Black Sheep Corporation's balance sheet as of today is as follows: Long-term debt (bonds, at par) $10,000,000 Preferred stock 2,000,000 Common stock ($10 par) 10,000,000 Retained earnings 4,000,000 Total debt and equity $26,000,000 The bonds have a 4.0% coupon rate, payable semiannually, and a par value of $1,000. They mature exactly 10 years from today. The yield to maturity is 12%, so the bonds now sell below par. What is the current market value of the firm's debt? MBAP505: Foundations of Quantitative Methods Homework V Due is 11:59 PM (CST), Tuesday, November 5, 2019 Name: T (60 POINTS). Table 1. Returns for A Country's Equity and Bond Funds Year 2012 2013 2014 2015 2016 Equity Fund (%) -7.1 -13.5 5.5 6.5 74 Bond Fund (%) 0.9 1.3 2.4 2.7 3.1 A. Compute arithmetic mean return for Bond Fund. B. Compute median return for Bond Fund. 1 I MBAPS05HWS C. Compute geometric mean return for Equity Fund. D. Compute Sample standard deviations of Equity Fund and Bond Fund. 2 I MBAP505HW5 E. Compute Sample coefficients of variations of Equity Fund and Bond Fund. Which Funds do you prefer? Why? F. Compute a correlation coefficient between Equity Fund and Bond Fund. Explain your findings. 3 I MBAPSOSHWS