A bond portfolio manager invested in a $25 million parcel of the 3.50% 15 July 2032 Treasury bond on 15 July 2020 when the market yield was 3.20% and sold the bonds on 15 January 2024 at 3.80%. Coupons were reinvested at 3.60%.

a) Calculate the buying and selling prices of the bond, assume the coupon payments are semi-annual (2 marks)

b) Calculate the accumulated value of the coupons (2 marks)

c) Calculate the investment yield achieved by the manger (2 marks)