Debra paid $99,615 for a $100,000 T-bill with 30 days remaining until maturity. What (annual) rate of

Question:

Debra paid $99,615 for a $100,000 T-bill with 30 days remaining until maturity. What (annual) rate of interest will she earn? (Taken from CIFP course materials.)

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Business Mathematics In Canada

ISBN: 978-0070009899

7th edition

Authors: Ernest Jerome

See More Books

Question Posted: Jan 20, 2016 07:15 AM

See More Questions

Suppose investors can earn a return of 2% per 6 months on a Treasury note with 6 months remaining until maturity. What price would you expect a 6-month maturity Treasury bill to sell for?
Monty purchased a strip bond for his RRSP. He paid $3800 for a $5000 face value bond with three years remaining until maturity. What semiannually compounded rate of return will he realize over the...
Pina bought a 6% coupon, $20,000 face value corporate bond for $21,000 when it had 10 years remaining until maturity. What are her nominal and effective yields to maturity on the bond? (Taken from...
Upon graduation from high school, John Abel immediately accepted a job as an electrician's assistant for a large local electrical repair company. After three years of hard work, John received an...
Mary and Nancy invested $80,000 each to form a partnership. Mary has been authorized a salary of $20,000, while Nancys salary is $25,000. Each partner is to receive 10% on the original capital...
A baseball is hit at Fenway Park in Boston at a point 0.762 m above home plate with an initial velocity of 33.53 m/s directed 55.0 above the horizontal. The ball is observed to clear the 11.28-m-high...
Repeat Problem 38 for the case n = 1.75, = 40, and 1 = 25.
A sample of the 2011 MTF survey suggests that adolescents are divided in terms of their attitudes toward others trying marijuana at least once. In fact, 49.3% of the 1,202 respondents who answered...
High Step had annual revenues of $196,000, expenses of $109,200, and dividends of $22,400 during the current yearThe retained earnings account before closing had a balance of $308,000. The entry to...
Is reinforcement learning an appropriate abstract model for evolution? What connection exists, if any, between hardwired reward signals and evolutionary fitness?
A $100,000, 90-day commercial paper certificate issued by Wells Fargo Financial Canada was sold on its issue date for $99,250. What rate of return will it yield to the buyer?
Dr. Robillard obtained a $75,000 operating line of credit at prime plus 1%. Accrued interest up to but not including the last day of the month is deducted from his bank account on the last day of...
Which of the following accounts are part of working capital and which are a part of capitalization? A. _____ Accounts payable. 1. Capitalization. B. _____ Line of credit. 2. Working capital. C. _____...
Evaluation a. Evaluate the effectiveness of social media marketing campaign for instagram, facebook and pintrest ?based on your KPIs for example account reached, content reached, likes, shares,...
A study was performed at a university to analyze whether the preference for hamburgers or fried chicken is related to the gender of the student. This table lists the results of the study. At a =...
A 20-lb homogeneous box has tipped and is resting against a 40-lb homogeneous box as shown in figure attached. The coefficient of friction between box A and the floor is 0.7, and between box B and...
The Taylor series for natural logarithm (with base e) In(1+r) is In(1+2) -(-1)+1 for <1. (a) Write a user-defined function using loop that determines In(1+x) using the above Taylor series. Your...
Question 1: [up to 4 pts] Suppose that a = 1, a2 = 2, a3 = = 3, and an = an-3 for all n 4. If an integral with respect to y is used to find the area of R, what should the upper limit of integration...
Refer to Short Exercise S20-10. Prepare the journal entry to record the transfer of costs from the Mixing Department to the Packaging Department. Data From Short Exercise S20-10: Refer to Short...
QUESTION 2 The CEO of Farisha Hijab Sdn Bhd insisted on further investigation to be carried out that he also required Mr Muaz to conduct the analysis of variance for the material and labour of the...
Refer to the financial statements of Tootsie Roll Industries and the Notes to Consolidated Financial Statements in Appendix A. Instructions Answer the following questions. (a) What were Tootsie Rolls...
Compute the future value of the following: a. $100 invested for 5 years at 4% compounded annually b. $500 invested for 15 periods at 2% compounded once per period c. $200 invested for 8 years at 3%...
Compute the present value of the following: a. $100 due in 30 years at 4% compounded annually b. $250 due in 8 years at 8% compounded quarterly c. $1,000 due in 2 years at 12% compounded monthly...
Compute the amount (future value) of an ordinary annuity an annuity in arrears) of the following: a. 13 rental payments of $100 at 1% per period b. 8 rental payments of $850 at 6% per period c. 28...
THIS IS ONE QUESTION WITH TWO PARTS. PLEASE ANSWER COMPLETELY AND SHOW ALL WORK. (NO EXCEL) Information for Question 1: State Probability Retum on A Return on B Return on C Retum on Portfolio X Boom...
Direct materials (5.0 Ibs. @ $5.00 per Ib.) Direct labor (2.0 hrs. @ $13.00 per hr.) Overhead (2.0 hrs. @ $18.50 per hr.) Total standard cost $25.00 26.00 37.00 $88.00 The predetermined overhead rate...
Problem 1-28 (Algo) (LO 1-4, 1-5, 1-6b 1-7) Harper, Inc., acquires 40 percent of the outstanding voting stock of Kinman Company on January 1, 2020, for $316,100 in cash. The book value of Kinman's...

Debra paid $99,615 for a $100,000 T-bill with 30 days remaining until maturity. What (annual) rate of

Question:

Step by Step Answer:

Effectively the interest Debra will ...View the full answer

Business Mathematics In Canada

Students also viewed these Accounting questions