please answer B & C

b) An investment bank purchased a Treasury bond at a government bond auction today. This bond has exactly 10 years to maturity and will pay annual coupons of 1% per annum. All: bonds in this issue (i.e. Treasury bonds with a coupon rate of 1% per annum paid yearly with 10 years to maturity) are trading in the bond market now at their face value of: $1,000,000. Rather than just buy-and-hold this bond, the investment bank decides to strip the coupon payments off this newly.issued 10 year to maturity bond to create a zero coupon bond and a separate 10 year.income only annuity; rights to payments from the zero coupon bond and the separate annuity stream will be sold to investors. I If the zero-coupon bond can be sold at a yield of 0.8% per annum (paid yearly), what is its principle payment worth today?| What is the value today of the income stream (annuity of coupons) if sold at the yield of 0.8% per annum (paid yearly)?| What is the dollar (and percent) gain made by the investment bank? Briefly comment on this transaction from the investment bank's perspective. I 1 c) You are planning to use a cash.contribution of $100,000 to invest in a NAB-margin-loan and are examining three securities as potential investments: 1 ASX Coded Company Namen Single stock LVR- BMLA Blue Max Limited a 50% BDL Boulder Dash Limiteda 40% PACO Pac Man Limiteda 60% Calculate: i.-The permitted borrowing amount;T ii. The maximum value of the portfolio value. | T