Bob is a plumber who owns a McDonald's bond with a $60,000 par value. The bond has a 4.50 percent coupon rate paid annually (not semi-annually), three years remaining to maturity, a 6.50 percent yield to maturity, and a modified duration of 2.88 years. When the government releases new economic numbers tomorrow, Bob believes the interest rate (yield to maturity) on the McDonald's bonds will decrease by 60 basis points. a. What is the market value of Bob's McDonald's bonds (if sold today, how much money does Bob get)? Explain your answer. b. What is the McDonald bonds' yield-to-maturity to three decimal places? Explain Assume Mark's forecast is correct and the interest rate (yield to maturity) on the McDonald's bonds decreases by 60 basis points tomorrow. c. What will be the McDonald bond's new yield to maturity to three decimal places? Explain your answer. d. Using modified duration, what will be the new price of McDonald bonds ... the question is not asking for the market value of Bob's bonds? Explain your answer and report your answer to three decimal places. Assume Bob is wrong and the interest rate (yield to maturity) on the McDonald's bonds increases by 160 basis points. e. Using modified duration, what will be the new price of McDonald's bonds to three decimal places? Explain your answer. Bob is a plumber who owns a McDonald's bond with a $60,000 par value. The bond has a 4.50 percent coupon rate paid annually (not semi-annually), three years remaining to maturity, a 6.50 percent yield to maturity, and a modified duration of 2.88 years. When the government releases new economic numbers tomorrow, Bob believes the interest rate (yield to maturity) on the McDonald's bonds will decrease by 60 basis points. a. What is the market value of Bob's McDonald's bonds (if sold today, how much money does Bob get)? Explain your answer. b. What is the McDonald bonds' yield-to-maturity to three decimal places? Explain Assume Mark's forecast is correct and the interest rate (yield to maturity) on the McDonald's bonds decreases by 60 basis points tomorrow. c. What will be the McDonald bond's new yield to maturity to three decimal places? Explain your answer. d. Using modified duration, what will be the new price of McDonald bonds ... the question is not asking for the market value of Bob's bonds? Explain your answer and report your answer to three decimal places. Assume Bob is wrong and the interest rate (yield to maturity) on the McDonald's bonds increases by 160 basis points. e. Using modified duration, what will be the new price of McDonald's bonds to three decimal places? Explain your