Professional Documents
Culture Documents
Max 16
Total 3
Total 4
Professional Marks
Report format 1
Layout, presentation and structure 3
Total 4
Total 36
Max 15
Max 5
Max 10
Total 30
23
Marks
3 (a) Calculation of gross redemption yield 2
PV of cash flows and duration of bond 1 3
PV of cash flows, price and duration of bond 2 4
Total 9
Max 8
Total 17
4 (a) Value of project without considering option to delay decision and conclusion 2
Current price variable (P
a
) for BSOP formula 1
Additional cost (P
e
) for BSOP formula 1
Other variables for BSOP formula 1
Calculation of N(d
1
) 2
Calculation of N(d
2
) 2
Value of the option to delay decision 1
Revised value of project and conclusion 2
Total 12
Total 17
Max 17
24