Answered step by step
Verified Expert Solution
Question
1 Approved Answer
can you please assist? In an empty column next to or below your data, calculate the yield to maturity (YTM) on each of your 3
can you please assist?
In an empty column next to or below your data, calculate the yield to maturity (YTM) on each of your 3 different types of corporate bonds. Show your work (i.e. the inputs) by utilizing the Rate function in Excel. For simplicity, assume annual compounding. Here are some additional tips: 1) The expiration date of the bond is found in the quote. 2) The payment is calculated by multiplying the coupon rate by the par value (typically $1,000), not the market value. 3) Use a negative sign on the present value (Price Paid) to avoid Excel error messages Remember the PV is a cash outflow (negative sign), while the PMT and FV are cash inflows (positive signs). 4) The future value is the par value, the amount paid out at the bond's maturity/expiration. Provide a copy of your CIB 1 Symbol Description 2 B-CCL-7.200 01102023 Carnival Corp. - 7.2% Oct 2022 3 HA-3.900-15072027 Hawaiian Airls - 2.9% - Jul 2027 4 SUSQ-5.375-15082022 Susquehanna Bancshares 5.375% Aug 2022 50-T-3.625-15082043 T-BOND 3.625 15 Aug 2013 6 BT 6.250-15092023 T-BOND 6.250% 15-Aug-2023 E Quantity Currency Last Price Price Paid 10 USD 1052.5 1056.5 10 USD 911 01 911.61 10 USD 1018.91 1018.91 10 USD 1007.33205 1007.47811 10 USD 1030 519925 1030.5702 DayChange Profitloss Market Value Profittest Percentage 40 10525 -0.28 0 9116,1 0 0 101891 0 1.45 10073.12505 0.01 0.51 10305.19725 0 OOOOO Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started