Assume that a 30-year 6 coupon bond with semiannual


Please provide excel attachment with Inputs

Assume that a 30-year, 6% coupon bond with semiannual payments has a par value of $1,000 and may be called in 5 years at a call price of $1,040. The bond currently sells for $1,010 (assume that the bond has just been issued). Employ the excel file to answer the following questions:

Part 1: Bond Yield

A) Calculate the Periods to Maturity, Periodic Payment, and Periods until Callable.

B) Calculate the periodic Yield to Maturity using the Excel function and the Annualized Yield to Maturity. The Annualized Yield is equal to the periodic YTM times the number of periods.

C) Calculate the Annual Coupon Payment, Current Price, and the Current Yield. The current yield is defined as Annual Coupon payment/Current Price.

D) Calculate the Capital Gain or Loss Yield. Capital Gain or Loss Yield = Annualized YTM - Current Yield.

E) Calculate the Periodic Yield to Call using the Excel function and the Annualized Yield to Call.

Part 2: Relation between Bond Value and Market Interest Rate

F) Calculate the Bond Value using the Excel function and bond value table (be sure to fill in the table) for different interest rates using the Excel function.

G) Graph the actual bond value considering call likelihood (y-axis) against the annual market interest rate (x-axis). Label the y-axis, x-axis, and chart title.

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Basic Computer Science: Assume that a 30-year 6 coupon bond with semiannual
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