A2. Liquidity risk (20 marks) (a) COG Bank has acquired Retire Well Pension Fund. To help finance the takeover, COG will liquidate the overfunded portion of Retire Well's pension fund. The face values and current and one-year future liquidation values of the assets that will be liquidated are given below. Liquidation values Asset Face value Rio shares $10 000 S 9 900 $10 500 TNT bonds 5 000 4 500 Government 15 000 13 000 14 000 securities Calculate the one-year liquidity index for these securities. {6 marks)