Problem 2. Betty and Bob buy a 2 year bond with face and maturity value of $100 and coupons of $6, 14, 9, and 5 in that order and is priced to yield 16 % per annum compounded semiannually. a Compute the price correct to 2 places after the decimal point. b Compute the dollar duration, correct to 2 places after the decimal place. You must use calculus. c Compute the modified duration, correct to 2 places after the decimal place. State your answer in years. d Compute the Macaulay duration, correct to 2 places after the decimal point, by using the previous results. State your answer in years. e Compute the Macaulay duration, correct to 2 places after the decimal point, by using the definition of Macaulay duration. Compare the results of parts d and . Problem 2. Betty and Bob buy a 2 year bond with face and maturity value of $100 and coupons of $6, 14, 9, and 5 in that order and is priced to yield 16 % per annum compounded semiannually. a Compute the price correct to 2 places after the decimal point. b Compute the dollar duration, correct to 2 places after the decimal place. You must use calculus. c Compute the modified duration, correct to 2 places after the decimal place. State your answer in years. d Compute the Macaulay duration, correct to 2 places after the decimal point, by using the previous results. State your answer in years. e Compute the Macaulay duration, correct to 2 places after the decimal point, by using the definition of Macaulay duration. Compare the results of parts d and