with 90 days to maturity and $1 million fa value is 8%. What is the price of the T-bill, considering 360 days in a year? Select an option Clear F $24,000
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- a If current interest rate is 28%, a Treasury Bill with 91 days to maturity, and a face value of GH¢ 50,000 should have a market value of? o Assuming you bought a 182-day Treasury Bill with a face value GH¢20,000.00 and held it for 45 days. If you want to sell it and interest rate is currently at 25%, at what price will you sell it?A put option on the Bank Nifty with expiry date 30-June-2022 (20 days from now) and Strike Price Rs. 35,000 is trading at Rs. 750. Should I buy the put option if the volatility of the bank nifty is around 30% per annum and the risk-free rate of return is 8% p.a. The current value of Bank nifty is 35,000.Which option yields a higher return? Option A: $50 in 6 months and $50 in 12 months, assuming a risk-free rate of 3% compounding monthly.Option B: $95 today.
- Please use the following information to answer You have account paybles: ₤5 m in one year.InterestUS: 6.10% per annum & InterestUK: 9% per annumSpot exchange rate: $1.50/£ & Forward exchange rate: $1.46/£ (1-year maturity)Call option strike price: $1.46/£ & Put option premium: $0.02/£How much will you receive in $ if you use the forward contract hedge? You must show all work to earn credit. No credit will be given without supporting work. 5,000,000 GBP x $1.46 = $7,300,000 $7,300,000 x 6.10% x 1 year = $445,300 $7,300,000 + $445,300 = $7.7453 million 2. Draw a graph for the forward contract hedge. (X axis is the spot rate in the future. Y axis is “$ cash paid.”)A 330-day T-Bill is currently selling at a discount rate of 3.97%. What will be the price of the T-Bill with a face value of $2 million? What is the return on the T-bill if the investor holds until maturity?1) You buy a T-bill at 88 TL. The matursity is 180 days (6 months). Par Value is 100 TL. If the expected inflation for the next 6 month is 11, calculate the real rate of return? (ex ante) 2) The central bank policy rate which is 1 week repo rate is 35%. Find the compounded yield of the policy rate? 3) Mortgage Loan 3 500 000 TL Maturity 120 months Monthly Interest Rate %3.4 Monthly Installments? 4) A person puts 200 dollar to a pension fund every month. This is invested in Eurobonds yielding sa annual. How much will be accumulated after 20 years? 5) Find the price of a bill maturity 200 days. simple yield $36. Par value: 100 TL
- For the following problem assume the effective 6-month interest rate is 2 %, the S&T 6-month forward price is $ 1020, and use the premiums listed below for S&T options with 6 month to expiration. Strike Call Put 950 120.405 51.777 1000 93.809 74.201 1020 84.47 84.47 1050 71.802 101.214 1107 51.873 137.167 Suppose you buy the S&T index for $ 1000 and buy a 950-strike put, and sell a 1107-strike call. Determine the profit for this position at the following S&T index spot prices at expiriry. When price is $ 925, the profit is $ When price is $ 950, the profit is $ When price is $ 975, the profit is $ ? When price is $ 1000, the profit is $ ? When price is $ 1025, the profit is $ ? When price is $ 1050, the profit is $ ? When price is $ 1075, the profit is $ ? When price is $ 1100, the profit is $ ? When price is $ 1125, the profit is $ ?The expected yield on a 2 year security is 7.8%. If the yield on a t-bill maturing in 1 year is 7.2%, what is the yield on a 1 year t-bill maturing 1 year from now? [Remember the return should be the same for investing in 2 one year t-bills or 1 2 year t-bill.] Select one: a. 7.2% b. 9.8% c. 15% d. 7.8%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?
- Suppose investors can earn a return of 1.9% per 6 months on a Treasury note with 6 months remaining until maturity. The face value of the T-bill is $10,000. What price would you expect a 6-month maturity Treasury bill to sell for? (Round your answer to 2 decimal places.)A promissory note with a face value of $500,000 has 45 days until maturity. If the relevant yield is 7% then what is the current price of this promissory note? Can you please give me the solution for this accompanied by an explanation? Thank you so much!For the following problem assume the effective 6-month interest rate is 2 %, the S-T 6-month forward price is $ 1020, and use the premiums listed below for S-T options with 6 month to expiration. Strike Call Put 950 120.405 51.777 1000 93.809 74.201 1020 84.47 1050 71.802 101.214 84.47 1107 51.873 137.167 1) Suppose you buy the S-T index for $ 1000 and buy a 950-strike put. Determine the profit for the following S-T index spot prices at expiry. When price is $ 925, the profit is $ ? When price is $ 950, the profit is $ When price is $ 975, the profit is $ When price is $ 1000, the profit is $ ? When price is $ 1025, the profit is $ ? When price is $ 1050, the profit is $ ? When price is $ 1075, the profit is $ ? When price is $ 1100, the profit is $ ? When price is $ 1125, the profit is $ ? 2) Suppose you buy a 950-strike call and invest $ 931.37 in zero-coupon bonds. Determine the profit for the following S-T index spot prices at expiry. When price is $ 925, the profit is $ When price…