A bond portfolio consists of the following bonds. Bond Coupon Years to Maturity Required Yield Par Amount($MM)
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Question:
A bond portfolio consists of the following bonds.
Bond Coupon Years to Maturity Required Yield Par Amount($MM)
A 4.25% 2 4.17% $3.75
B 3.75% 6 4.33% $4.30
C 3.25% 12 4.92% $3.75
D 0.00% 28 5.53% $10.00
(a) Calculate the price per $1,000 par value for each bond.
(b) Calculate the aggregate market value for each bond.
(c) Calculate the aggregate market value for the portfolio.
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