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financial math [10 marks] A $900 callabie bond pays interest at j2 = 9.5% matures on December 19, 2040. It can be called annually, from

financial math
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[10 marks] A $900 callabie bond pays interest at j2 = 9.5% matures on December 19, 2040. It can be called annually, from 2023 to 2039 (inclusive), on December 19th at par. a. Find the purchase price on December 19, 2021, to guarantee an investor a yield of 11.5% compounded semi-annually. b. Suppose the bond was purchased on December 19, 2021 for the price determined in part (a). If the bond is called on December 19, 2027, determine the purchaser's annual yield compounded semi-annually (.e. determine j2) using: i) the method of averages. ii) the method of interpolation

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