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please help this problem Currently, Alam Megah Berhad is looking to built up a sizable investment portfolio and have always had a major portion of

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Currently, Alam Megah Berhad is looking to built up a sizable investment portfolio and have always had a major portion of its investments in fixed-income securities. Alan Zecha, A CEO of the company adhere to fairly aggressive investment posture and actively go after attractive current income and substantial capital gains. Alan's first investment decision involves a short-term trading opportunity. In particular, the company has a chance to buy a Jojo bond, 7.5%, 25 years bond and has issued 5 years ago. Currently priced at RM850 to yield 9%; he feels that in two years the promised yield of the issue bond should drop to 8%. Another local bond is Khazanah bond, 8%, 20 years bond, yield-to-maturity 7%, currently priced at RM950. The second is a yankee bond. Alan wants to improve both current income and yield-to-maturity, and currently is considering one of three issues as follows (a) Lehman Corporation bond issued in UK, 7%, 10 years bond, currently priced at RM785 with AAA rating. (b) Itoshi Corporation bond issued in Japan, 10%, 15 years bond has issued 3 years ago, currently priced at RM1100 with AA rating and (c) Tohoku Corporation bond issued in Seoul, 6%, 12 years bond, currently priced at RM95 with A rating. All these bonds are comparable quality and have comparable issue characteristics. Required: Calculate the value of Jojo bond and Khazanah bond. Is it worth for the company to invest in these two bonds? Why? (8 marks) (CLO2:PLO6:C6) b. Evaluate Lehman's, Itoshi's and Tohoku's yield-to-maturity. Which bond(s) is/are traded at premium/discount/par value? Proof your answers with calculations

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