midterm.xlsx

	A	B	C	D	E	F	G	H	I	J
1	ZCR	Year	Cash Flows	Present Value		ZCR	Year	Cash Flows	Future Value
2	4.50%	1	5	4.784688995	#=C2/(1+A2)^B2	4.50%	1	5	6.170671795	#=C2(1+A5)^(5-B2)
3	5.00%	2	5	4.535147392		5.00%	2	5	5.829567266
4	5.25%	3	5	4.28848298		5.25%	3	5	5.5125
5	5.40%	4	5	4.051422735		5.40%	4	5	5.225
6	5.50%	5	105	80.33910715		5.50%	5	105	105
7								Total Cash Flows (TCF)	127.7377391
8	Price			97.99884926	#=SUM(D2:D6)			Price	97.99884926
9									1.303461623	#=TCF/P
10								Anuual Total Return Rate (y)	5.44%	#y=(TCF/P)^(1/5)-1
11		Year	Cash Flows	Present Values (using YTM)				(1+y)^5=TCF/P
12		1	5	4.740763923
13		2	5	4.494968515
14		3	5	4.261916915
15		4	5	4.040948391				32.5
16		5	105	80.46016586				32.5
17	YTM (guess)	5.47%						32.5
18	Price (YTM)			97.99876361				32.5
19	Price (ZCR)			97.99884926				32.5
20	Diff			-0.00008564991143				32.5
21								32.5
22								32.5
23								32.5
24								32.5
25								32.5
26								32.5
27								32.5
28								32.5
29								32.5
30								32.5
31								32.5
32								32.5
33								32.5
34								32.5
35								32.5
36								32.5
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