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Using Excel, calculate the Full price (no accrued adjustments) of a bond (show excel work/formulas) Given Information: Par Value of $10,000,000 Benchmark Index Value of

Using Excel, calculate the Full price (no accrued adjustments) of a bond (show excel work/formulas)

Given Information:

  • Par Value of $10,000,000
  • Benchmark Index Value of 0.65%
  • Quoted Margin: 1.5%
  • Discount Margin: 2.5%
  • Pay Dates 3/31, 6/30, 9/30, 12/31; quarterly pay
  • First Pay Date 3/31/2020
  • Issue Date 12/31/2019 - bond should be priced as of this date
  • 5-years to Maturity
  • Bullet Cash Flow Structure

Answer should come out to: $9,539,060.31

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