Coupons are paid annually Use this data to Compute the amount to be invested to meet the future liability noted in the dat This future liability is due in 11 years Find a combination of Bond 1 and Bond 2 having a target duration of 11 years Find a combination of Bond 1 and Bond 3 having a target duration of 11 years Perform an analysis using a data table and an accompanying graph to determine which of the following options (i e , a portfolio consisting of Bond 1 and Bond 2, a portfolio consisting of Bond 1 and Bond 3, or a portfolio consisting of Bond 1) would be preferred to attempt to immunize this obligation Construct a data table by varying the yield to maturity that shows the value of each option at the end of 11 years Use yield to maturity values ranging from 0 to 15 in 1 increments Based on your data table, construct a graph that demonstrates the performance of these 3 options Analyze each options performance in attempting to achieve immunization A B C D 1 PORTFOLIO BOND IMMUNIZATION DATA PROJECT 3 Fall 2021 2 3 Yield to maturity (Expected Current) 9 4 Number of Years to Future Liability 11 00 5 Future Liability $12,000 00 6 7 Bond 1 Bond 2 Bond 3 8 Coupon rate 5 00 6 000 6 50 9 Maturity (Years) 15 22 30 10 Face value 1,000 1,000 1,000 11 A B C D 1 PORTFOLIO BOND IMMUNIZATION DATA PROJECT 3 Fall 2021 2 3 Yield to maturity (Expected Current) 9 4 Number of Years to Future Liability 11 00 5 Future Liability $12,000 00 6 7 Bond 1 Bond 2 Bond 3 8 Coupon rate 5 00 6 000 6 50 9 Maturity (Years) 15 22 30 10 Face value 1,000 1,000 1,000 11

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Coupons are paid annually. Use this data to: Compute the amount to be invested to meet the future liability noted in the dat This future

Coupons are paid annually. Use this data to:
1. Compute the amount to be invested to meet the future liability noted in the dat This future liability is due in 11 years.
2. Find a combination of Bond 1 and Bond 2 having a target duration of 11 years.
3. Find a combination of Bond 1 and Bond 3 having a target duration of 11 years.
4. Perform an analysis using a data table and an accompanying graph to determine which of the following options (i.e., a portfolio consisting of Bond 1 and Bond 2, a portfolio consisting of Bond 1 and Bond 3, or a portfolio consisting of Bond 1) would be preferred to attempt to immunize this obligation.
  1. Construct a data table by varying the yield to maturity that shows the value of each option at the end of 11 years. Use yield to maturity values ranging from 0% to 15% in 1% increments.
  2. Based on your data table, construct a graph that demonstrates the performance of these 3 options.
  3. Analyze each options performance in attempting to achieve immunization.

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A B C D 1 PORTFOLIO BOND IMMUNIZATION DATA - PROJECT 3 - Fall 2021 2 3 Yield to maturity (Expected/Current) 9% 4 Number of Years to Future Liability 11.00 5 Future Liability $12,000.00 6 7 Bond 1 Bond 2 Bond 3 8 Coupon rate 5.00% 6.000% 6.50% 9 Maturity (Years) 15 22 30 10 Face value 1,000 1,000 1,000 11 A B C D 1 PORTFOLIO BOND IMMUNIZATION DATA - PROJECT 3 - Fall 2021 2 3 Yield to maturity (Expected/Current) 9% 4 Number of Years to Future Liability 11.00 5 Future Liability $12,000.00 6 7 Bond 1 Bond 2 Bond 3 8 Coupon rate 5.00% 6.000% 6.50% 9 Maturity (Years) 15 22 30 10 Face value 1,000 1,000 1,000 11