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- Calculate the percentage return on a 1-year Treasury bill with a face value of $10 comma 00010,000 if you pay $9 comma 859.819,859.81 to purchase it and receive its full face value at maturity.If $476 invested today yields $500 in one year's time, what is the discount rate?Calculate the percentage return on a 1-year Treasury bill with a face value of $10,000if you pay $9,138.01to purchase it and receive its full face value at maturity. The percentage return is ______%. (Round to two decimal places.)
- What is the maturity value for a discount note of $7,000, 120-day, with a discount rate of 6%?You purchase a three-month discount security (e.g., a Treasury bill or commercial paper) for $0.9878 on $1 (i.e., $98,780 for $100,000 face amount). What are the discount yield, the simple annual yield, and the annual compound yield earned by the investment?Assuming you bought a 182-day Treasury Bill with a face value Ghc 20,000.00 and held it for 45days. If you want to sell it and interest rate is currently at 25%, at what price will you sell it?
- A promissory note is a written statement agreeing to pay a sum of money either on demand or at a definite future time. When a note is purchased for its present value at a given interest rate, the note is said to be discounted and the interest rate is called the discount rate. Suppose a $10,000 note due 7 years from now is sold to a financial institution for $5600. What is the nominal discount rate with quarterly compounding? The nominal rate is %. (Type an integer or decimal rounded to two decimal places as needed.)what;s the present value of perpetuity that pays % 1, 563 per year if the appropriate interest rate is 6.8% ?A one-year Treasury bill currently offers a 5% rate of return. A two-year Treasury note offers a 5.5% rate of return. Under the expectations theory, what rate of return do investors expect a one-year Treasury bill to pay next year?
- The discount rate on a T-Bill is always a simple annual interest rate, using the formula, D= PVrt where D is discount, PV is present value, r is rate and t is time years. The maturity times and discount rates for $20,000 T-bills sold on July 8, 2019, are given. Find the discount amount and the price of each T- bill. (a) one year; 0.52% (b) six months; 0.35% (c) three months; 0.26%Under what interest rates would you prefer a perpetuity that pays $2 million a year to a one- time payment of $40 million?What is the future amount of P10,000 if interest is computed using exact simple interest for the period from January 15, 1994 to November 28, 1998, if the rate of interest is 22%.