QUESTION 6 (use Excel to do this question) Assume you have six different bonds:

B1 A two-year bond with a nominal rate of 2 % per annum

B2 A three-year bond with a nominal rate of 2.5 % per annum

B3 A five-year bond with a nominal rate of 3 % per annum

B4 An eight-year bond with a nominal rate of 4 % per annum

B5 A ten-year bond with a nominal rate of 4 % per annum

B6 - A twenty-year bond with a nominal rate of 5 % per annum All these bonds pay annual coupons and have face values of $2,500. Calculate their Present Values, Macauley Durations and Convexities using a YTM of 3% (YTM = 0.03)