An investment promises the following payments: March 3 $1000; March 18 $2000; March 26 $3000. If the market interest rate is 5.16%, what is this investment value on March 28? ___________.What is this investment value on March 18? _____________. If you believe your required return for this investment should be 8.19%, how much are you willing to pay for this investment on March 1? _____________

Q: am. 125.

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A: Option 1: Receives $1000 at 10% today But if we invest the $1000 received today for 5 years

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A: Present value: It is the current worth of cash flows that are expected to happen in the future.

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A: Information Provided: Amount = $7000.00 Rate = 15% T = 0.75 (39 weeks / 52 weeks)

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A:

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Q: Determine the present value P that must be invested to have the future value A at simple interest…

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A:

Treasury Market

On-the-run securities are the most recently issued securities in the market depth and are therefore traded at some premium. The off-the-run securities are the ones issued just before the most recent ones. The on-the-run securities have a lower yield to the investor than the off-the-run securities.