Question $9$:

G$$n$$rale has recently listed four$-$year bonds into the market. These bonds pay an annual coupon of $5\%$ and they have been issued with a par value of $1,000.$ The yield is $6\%.$ Calculate the modified duration of the bonds and outline what the new price would be if the European Central Bank increased interest rates by $0\mathrm{.}25\%.$

Question $10$:

Yesterday, $30$th April, $201$X$,$ Zenith plc paid its annual dividend of $1\mathrm{.}6$ per share. Because Zenith plc$$s financial prospects are particularly bright, investors believe that the company will increase its dividends by $20\%$ per year for the next $3$ years. After that, Zenith plc will increase the dividend at a modest annual rate of $4\%$ in perpetuity. Assume investors require a $10\%$ return on Zenith plc$,$ and Zenith plc always makes its dividend payment on $30$th April. What is the share price of Zenith plc on $1$st May, $201$X$?$