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C48 > fx In cell E42, type either upward sloping, downward sloping, or flat depe A 0 22 EHRER Problem 644 Complete the steps below using all references to give data or previous calculations. In some cases, a simple cell reference is all you need. To copy/paste a formula across a row or down a column, an akoolute dl reference or a miud odll reference may be preferred a specific Excel function is to be used the directions will specify the use of that function. Do not rype in numerical data into a celor function Instead, make a reference to the cell in which the data is found. Make your computations only in the blue cells highlighted below. In all cases, unless otherwise directed, use the earliest appearance of the data in your formulas, usually the Given Data section The table below summarizes prices (per $100 face value) of various default-free zero-coupon bonds (expressed as a percentage of face value) 2. Compute the yield to maturity for each bond b. Plot the zero-coupon yield curve (for the first five years) c Is the yield curve upward sloping, downward sloping, or flat? + Face value $ 100.00 10 11 22 Maturity years) 1 2 3 4 $ Price S 95.51 s 91.05 s 86.38 s 81.65 is 76.51 11 24 17 A. Compute the yield to maturity for each bond DE 19 20 2 22 23 YTM 1-year band YTM 2.year bond YTM 3-year bond YTM 4-year bond YTM 5.your bond 25 b. Plot the zero-coupon yield curve (for the first five years 36 6- + Format Tools Data Window Help Insert Excel File Edit View AutoSave Formulas Review Data View Home Draw Insert Page Layout X Times New Roman 14 A A Onun Paste B V a. A Office Update To keep up-to-date with security updates, fixes, and improvements, choose Check C48 Xfx In cell E42, type either upward sloping, downward sloping, or flat d . 22 4 5 s s 81.65 76.51 Compute the yield to maturity for each bond 18 20 21 YTM 1 your bond YTM 2-yenbond YTM 3-year band YTM 4-year bond YTM 5 year bond b. Plot the 2010-coupon yield arve (for the first five you) BA c. Is the yield curve upward sloping, downward sloping, or flat? The yidd curveis 46 Requirements 1 In cell range E19E23, by using the RATE function and edl references, calculate the yield to maturity for the bonds with maturity 1.5 years, respectively (5 pt.) 2 In cell rege C27:438, by using Line with Marken, plot the so-coupon yid curve for the fins five you with the maturity in you call me C11C15) on the horizontalis and the YTM in percentage cell mange E 19:23) on the verticals Use the following labels: chart title: Yidd Curve, horizontal axis title: Maturity and vertical is title: YTM pt.) 3 In cell E43, type either upward sloping downward sloplag, or fiat depending on the Bape of the vidd carvet SE S2 50

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