Man - Duen wants to buy a $28, 000.00 T-bill that matures on 2019-12-08. His target price is $ 27,729.66, the (annual) simple interest rate is 3.120% and the daycount convention is ACT/360. What is the last date on which he can still buy the T-bill? How much does he pay?
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c) Man - Duen wants to buy a $28, 000.00 T-bill that matures on 2019-12-08. His target price is $ 27,729.66, the (annual) simple interest rate is 3.120% and the daycount convention is ACT/360. What is the last date on which he can still buy the T-bill? How much does he pay?
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- Please provide solutions and answers for the three questions. 1. Keiko buys a T-bill with a face value of $25,000.00 on 2020-12-26 that matures on 2021-05-18. The annual simple interest rate is 3.375%, and the daycount convention is ACT/365. What price P does she pay? 2. Wing Sze buys a T-bill with a face value of $20,000.00 on 2021-06-02 that matures on 2021-10-19. The annual simple discount rate is 3.500%, and the daycount convention is ACT/360. What price P does she pay? 3. Given i(12) = 1.90000%, find the equivalent effective quarterly rate.If you have only $750 on January 1, 2019, what interest rate, compounded annually for 3 years,must you earn to have $1,000 on January 1, 2022?e. Suppose you can deposit only $200 each January 1 from 2019 through 2022 (4 years). What interestrate, with annual compounding, must you earn to end up with $1,000 on January 1, 2022?f. Your father offers to give you $400 on January 1, 2019. You will then make six additional equalpayments each 6 months from July 2019 through January 2022. If your bank pays 8% compoundedsemiannually, how large must each payment be for you to end up with $1,000 on January 1, 2022?g. What is the Effective Annual Rate (EAR) earned on the bank account in part f? What is the NominalInterest Rate or Annual Percentage Rate (APR) earned on the account?1) Mike holds a P32,400 simple interest note at 12.5%, which is payable at the end of a year, from Carlo. If Mike decides to sell the note 5 months after the origin date, how much will he receive if the discount rate is 13.5%? Not use excel
- Janet borrows $4,000 on October 20, 2020. If the simple interest rate is 12%, then how much needs to berepaid on May 11, 2021?Charlie Chaplin borrowed P100,000.00 on October 31 2019 from Mr. Beans and the loan has an interest rate of 6 % per year until full payment. How much should Chaplin pay Bean on March 10, 2020 in order to fully satisfy the obligation?Moon purchases a lot for $300,000. Moon agrees to pay $25,000 dollars at the end of each year. If the interest rate is 4% compounded annually, how many full payments must be made, and what will be the size of the concluding payment one year after the last full payment? How to enter into TVM Solver??
- Timothy is retiring from his job soon at which time his employer will make the following offer: A lump sum amount of $200,000 A sum of $15,000 at the beginning of each yearfor the next 25 years. If the average interest rate is likely to be 5.5% p.a. for the next 25 years, which option should Timothy choose?Timothy is retiring from his job soon at which time his employer will make the following offer: A lump sum amount of $200,000 A sum of $15,000 at the beginning of each year for the next 25 years. If the average interest rate is likely to be 5.5% p.a. for the next 25 years, which option should Timothy choose?Cesar Moreno is considering entering into an agreement with BDO bank to deposit P1,000 into a special account at the end of the first year. P1,100 at the end of the second year, etc. increasing by P100 each year. At the end of 15 years, he would be able to withdraw a lump sum of P36,000 at what rate would he earn interest, if the interest was compouded anually?
- Timothy is retiring from his job soon at which time his employer will make the following offer: A lump sum amount of $200,000 A sum of $15,000 at the beginning of each month for the next 25 years. If the average interest rate is likely to be 5.5% p.a. for the next 25 years, which option should Timothy choose?1) Janet borrows $4,000 on October 20, 2020. If the simple interest rate is 12%, then how much needs to be repaid on May 11, 2021?Timothy is retiring from his job soon at which time his employer will make the following offer: 1. A lumpsum amount of $200,000 2. A sum of $15,000 at the beginning of each year for the next 25 years. If the average interest rate is likely to be 5.5% p.a. for the next 25 years, which option should Timothy choose?