Question $2$

Part A

Superspace, Inc. issued a $6$ percent quarterly coupon bond that matures at the end of September $2045.$ The current market yield for similar bonds is $8$ percent. Calculate the bond price at the end of May $2023.$

Part B

On $15$ March $2023,$ Green Field, Corp. issued a bank bill with a face value of $$100,000$ and $90$ days to maturity. The bill had a yield of $5$ percent. Anastacia bought the bill that day, but sold it $30$ days later when the yield rose to $8$ percent. What is her holdingperiod return on this short$-$term investment?