Your Aunt Rita is ready to retire after a $44-$year career as a nurse. She will be $65$ on April $1$st and desires nothing more than to move to Florida and live in a small condo on a beach $($a two bedroom, so her favorite relative $$ you $$ can visit anytime$).$ Agnes estimates that to live in Florida, she will need approximately $$45,000$ per year to live on$.$ Her Social Security Check is estimated at the national average of $$1,658$ per month.

Your task? Using the Rule of $102$ and her $$475,000$ in $401$K savings, create a diversified investment portfolio that will allow Aunt Agnes to live out her dream. Then, create a simple writeup of your plan, noting why you chose to make the investment decisions you did.

Step $1$: Determine Stocks $+$ Bonds

First, determine the mix of stocks and bonds she should have. To do this, you will need to solve the $10$ bond problems in the box below for one missing item.

$10$ Bond Problems

A $5-$year bond issued by Bank of America with a $3\mathrm{.}8\%$ coupon and a $4\mathrm{.}5\%$ yield to maturity.

A $10-$year Treasury bond with a $3\mathrm{.}7\%$ yield to maturity and a $3\mathrm{.}5\%$ coupon.

An $8-$year Treasury bond paying $$19$ every six months and a $3\mathrm{.}4\%$ annual yield to maturity.

A $2-$year bond issued by Duke Energy with a $4\%$ coupon and $3\mathrm{.}9\%$ market interest rate.

A development bond issued by the new St$.$ Louis soccer stadium developers, priced at $$1,234\mathrm{.}48$ per bond, with a market interest rate of $4\mathrm{.}5\%$ and a $25-$year life.

A $15$ semi$-$annual year Treasury bond with a yield to maturity of $3\mathrm{.}1\%$ and a price of $$1000.$

An Apple corporate bond with $8$ years left to maturity is priced at $$984\mathrm{.}24$ and a market rate of $3\%.$

A $1-$year Treasury, priced at $$1,015\mathrm{.}34,$ paying $$37$ annually.

A $4-$year bond from Walmart with a $$24$ interest payment every six months is priced at $$1,085\mathrm{.}43.$

A $3-$year Treasury bond with a $3\mathrm{.}1\%$ coupon is priced at $$985\mathrm{.}24.$

Step $2$: Generate an Investment Table

Generate a table of the investments you recommend with these guidelines:

Agnes wants to live off of her social security payments, bond interest payments, and stock market gains.

A diversified stock index $($your only stock market choice$)$ has an expected return of $8\%.$

Note: The bond portfolio will consist of individual bonds but needs to be diversified. In the real world, that means at least $30$ different bond issues across sectors$,$ duration, and geography. For this assignment, there will be a minimum of $5$ bonds $($you can use more$),$ and no one bond can be more than $25\%$ of the total bond portion of her assets.

Do not worry about taxes.

Do not worry about inflation.

The table should show how she is to meet or beat her $$45,000$ annual income goal, showing ALL of her sources of income.

Include the steps for the calculations