Problem 6. A company has liabilities of $1000 and $2000 due at the end of 6 months and 1 year respectively. The investments available to the company are two bonds. Bond A: 6-month bond with 8% nominal annual coupon rate convertible semi- annually and a 9% nominal annual yield rate convertible semiannually; Bond B: 1-year bond with 5% nominal annual coupon rate convertible semi- annually and a 7% nominal annual yield rate convertible semiannually. a Find the amount of each bond to purchase to match its liabilities exactly. b Determine the cost to the company. c What is the nominal annual IRR convertible semiannually for investment in the bonds required to exactly match its liabilities