Valerie Smith is attempting to construct a bond portfolio with a Macaulay duration of 9 years. She has $500,000 to invest and is considering allocating it between two zero coupon bonds. The first zero coupon bond matures in 6 years, and the second zero coupon bond matures in 16 years. Both of these bonds are currently selling for a market price of $100. Suppose that the yield curve is flat at 7.5%. Is it possible for Valerie to construct a bond portfolio having a Macaulay duration of 9 years using these two zero coupon bonds? If so, how? (Describe the actual portfolio.) If not, why not?

Mrs. julien’s and mrs. castillejo’s classes are selling cookie dough for a school fundraiser. customers can buy packages of macadamia nut chip cookie dough and packages of triple chocolate cookie dough. mrs. julien’s class sold 25 packages of macadamia nut chip cookie dough and 30 packages of triple chocolate cookie dough for a total of $221.25. mrs. castillejo’s class sold 5 packages of macadamia nut chip cookie dough and 45 packages of triple chocolate cookie dough for a total of $191.25. (a) write the system of equations that model the problem. be sure to explain which equation represents which situation. (b) find the cost of each type of cookie. show your work. (c) explain which method you used to solve the system and why you chose that method.