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.
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A: Purchase price of 3-month discount security = $98780 Face Value = $100,000
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A: Following is the answer to the question
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A: The question gives the following information:
Calculate the percentage return on a 1-year Treasury bill with a face value of
if you pay
to purchase it and receive its full face value at maturity.
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- What would be your annualized discount rate% on the purchase of a 170-day Treasury bill for $4700 that pays $4800 at maturity?Use the following 10% present value factors: N 1: 0.9091 N = 2: 0.8264 N= 3: 0.7513 Assume you wish to receive $1,000 at the end of two years. Assuming an interest rate of 10% what amount would you need to deposit todayin order to receive the S1, 000? Round to the nearest penny if necessary.Consider a perpetuity that pays £500 per year with its first payment at the beginning of t=5. What is its present value today (t=0), given an 8% discount rate? A) £2678.7. B) £2135.6. C) £4593.9. D) £4253.6.
- 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?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?What's the answer?
- Given the following information, calculate the rate of return. price = $501.88time to maturity = 10 yearsannual payment = $100type = ordinary annuityUse the following 8% interest factors to answer the question below: Future Value of Ordinary Annuity. 8.92280 10.63663 12.48756 What amount should be recorded as the cost of a machine purchased December 31, 2023, which is to be financed by making 8 annual payments of $10,000? Each payment is made at the end of the period. The applicable interest rate is 8%. Present Value of Ordinary Annuity. 5.2064 5.7466 6.2469 7 periods 8 periods 9 periods hsq5. An investment product will provide a cash flow of $613 at the end of each year for the following 18 years. At a discount rate of 8 percent, what does this investment worth to you today? Answer: $ q6. If you purchase an investment at $51,401 today, in return, you will receive a(n) 12 percent, 20 - year annuity. What will the annual cash flow be? Answer: $ q7. Your bank account offers an annual interest rate of 1.0% that compounds monthly. What is the effective annual rate (EAR) for your account
- What is the future value annuity due of RM32,000 for the next 10 years with a discount rate of 8%? Select one: a. RM413,090.78 b. RM415,879.09 c. RM500,636.16 d. RM413,790.89Given an interest rate of 9 percent per year, what is the value at date t= 6 of a perpetual stream of $1,200 payments with the first payment at date >= 15? Multiple Choice O $13,433.33 O $6.691.55 O $6,825.38 O $6.139.04 O $6.557.72YouplantoborrowR389000nowandrepayitin25equalannualinstalments (payments will be made at the end of each year). If the annual interest rate is 14%, how much will your annual payments be?
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