Calculate portfolio yield composed of the entire bond

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1. Calculate portfolio yield composed of the entire bond in Texas utilities, Transamerica, United airline, and Litton Industry. Assume the four bonds respectively have maturity of 4, 5, 6 and 7 years. To calculate portfolio yield you need to estimate price of each bond assuming respective yield, coupon in the exhibit with the maturity that is given. Use the total market value as an input in excel. Use the cash-flows from the entire bond portfolio for 7 period as your input into IRR.

2. Calculate the terminal value of the above portfolio assuming the proceeds from the portfolio is invested at 3, 4 and 4.5 percent.

Attachment:- Table.rar

Reference no: EM131713457

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len1713457

11/9/2017 2:20:20 AM

I want to be a bit more specific to ensure I get what I need. I need the questions answered in excel with the calculations and formulas intact. That way I can look at the formulas and understand how you got to the answers. I am not sure if you can give an explanation of any kind but that would be amazing.

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