Consider a bond with face value

Reference no: EM13318500

Consider a bond with face value $100, coupon rate 6% and 10 years to maturity. Using Microsoft Excel produce a printout of:
a. A table and a graph of the prices corresponding to required yields in the range 1%-16% with intervals of 1% (place yield on the horizontal axis of the graph),
b. Repeat part a. assuming 5 years to maturity,
c. Interpret the results you have produced.
Hint: you might want to use the Excel function PV or the formulas developed in class. Keep your file for a later exercise.

Reference no: EM13318500

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