The following are a series of questions concerning Interest Rate Calculation a. A...
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The following are a series of questions concerning Interest Rate Calculation a. A United States T-Bill is an example of what type of security b. A BA has a face value of $300,000 and matures in 162 Days. What is the bank Discount Yield if the BA is currently selling fpr $292,700 c. A $40,000 Face value Means BA matures in 100 Days and has a bank discount yield of 3.86% What is the current Value of the BA What is the price one week from today d. A 90 Day treasury Bill issued 2/2/2020 is quoted at a bank discount yield of 1.21% and has 15 days to maturity. What is the bond Equivalent e. The Three - Year interest rates is 4.80% and the Five year interest rates 5.13%. What is the two - year interest rate three years from now f. Nominal Interest is calculated as follows NI=RI+IP+RP+LP+DP If the risk Free Rate is 1.5% and for a seven year period inflation is expected to be 1%,1.5%,2%,2%,2.5%,3%,3%, the interest risk premium is .8% for AAA rate Securities: 1 What would be the rate on a 5 year treasury bond 2 What would be the rate on a 7 year AAA rated Corporate Bond 3 What would be Rate on AAA Commercial Paper The following are a series of questions concerning Interest Rate Calculation a. A United States T-Bill is an example of what type of security b. A BA has a face value of $300,000 and matures in 162 Days. What is the bank Discount Yield if the BA is currently selling fpr $292,700 c. A $40,000 Face value Means BA matures in 100 Days and has a bank discount yield of 3.86% What is the current Value of the BA What is the price one week from today d. A 90 Day treasury Bill issued 2/2/2020 is quoted at a bank discount yield of 1.21% and has 15 days to maturity. What is the bond Equivalent e. The Three - Year interest rates is 4.80% and the Five year interest rates 5.13%. What is the two - year interest rate three years from now f. Nominal Interest is calculated as follows NI=RI+IP+RP+LP+DP If the risk Free Rate is 1.5% and for a seven year period inflation is expected to be 1%,1.5%,2%,2%,2.5%,3%,3%, the interest risk premium is .8% for AAA rate Securities: 1 What would be the rate on a 5 year treasury bond 2 What would be the rate on a 7 year AAA rated Corporate Bond 3 What would be Rate on AAA Commercial Paper
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