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6. You are considering purchasing a $1000 bond which matures on July 14, 2022. The bond pays semi- annual coupons ofj2 = 5%. Assuming you
6. You are considering purchasing a $1000 bond which matures on July 14, 2022. The bond pays semi- annual coupons ofj2 = 5%. Assuming you require a yield rate of j2 = 4%, (a) Calculate the values of P, I, and Qevery 10 days, starting on January 14, 2021 and going until July 14,2022.(Make sure you calcplate the values on July 14/21, January 14/22 and July 14/22 in addition to the values every 10 days). (4 marks) Graph the values of P and from (a) using a line graph. (3 marks) (b) 6. You are considering purchasing a $1000 bond which matures on July 14, 2022. The bond pays semi- annual coupons ofj2 = 5%. Assuming you require a yield rate of j2 = 4%, (a) Calculate the values of P, I, and Qevery 10 days, starting on January 14, 2021 and going until July 14,2022.(Make sure you calcplate the values on July 14/21, January 14/22 and July 14/22 in addition to the values every 10 days). (4 marks) Graph the values of P and from (a) using a line graph. (3 marks) (b)
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