1. A 364 day T-bill with a face value of $1,000,000 was purchased by an investor at an interest rate of 2.38%, and sold after 100 days at interest rate of 2.35%.1What is the price paid for the T-bill by the investor? 2What is the price of the T-bill sold by the investor?3How much profit did the investor get?4What was the simple interest rate did the investor earn? 2.A 120-day, 8% promissory note with face value of $15,000 issued on May 1, 2012 was sold on August 5, 2012 while the cost of money is 4%.1When is thematurity date of the promissory note?(Answer in format of date is MM/DD/YYYY)2What is the maturity value of the promissory note?3What is the price the note was sold on August 5, 2012?4What is the profit did the note holder get from selling the note?5What is the interest rate did the note holder earn from selling the note?6If the buyer cash the note on the maturity date, how much profit did the buyer earn? 3. A demand loan was taken out from the TD Bank at a cost of 9% p.a. The demand loan agreement provided for payments of $1,300 on April 9, 2014, $1,500 on May 5, 2014 and a final payment on August 8, 2014. The loan was originally taken out for $3200 on March 2, 2014.1How much was the outstanding balance of the loan right after the first payment made on April 9, 2014?2How much was the outstanding balance of the loan right after the second payment made on May 5, 2014?3How much was the final payment on August 8, 2014 to pay out the loan? 4. A Credit Card had the following purchases in the month of June. If the rate attached to the card is 21.5% and there have been no other purchases, answer the following questions. June 10: Cash Advance of $200.00. June 27: Purchased a suite for $648.35 from Bay. 1Find the amount of interest charged on the cash advance from June 10 to June 30.2Find the amount that must be paid on June 30, to fully pay-off the credit card balance.3If only the minimum of $10 is paid on June 30, and there are no other transactions in June, how much will be owing on the card on July 31? 5. You borrowed $3000 at 9% per annuum calculated on the unpaid monthly balance and agreed to repay the principal together with interest in monthly payments of $500 each.1How much is the outstanding balance of the loan right after the first payment?2How much is theoutstanding balance of the loan right after the second payment?3How many $500 payments will be made before the last smaller payment to pay off the loan?4How much will be the last payment? 6. $850was invested in an bank account at interest3.6%compounded quarterly for four years.1How much money will be in the account at the end of four years?2How much interest will befrom this investmentat the end of four year? 7. $1500 are invested at 7.2% compounded monthly for seven years.1How much is the mature value at the end?2How much interest will be earned at the end? 8. David borrowed $5000 at 10% compounded semi-annually. He repaid $2000 after two years from now and $2500 after three years from now.1How much is the outstanding balnce of his debt right after his payment at the end of two years?2How much is the outstanding balnce of his debt right after his payment at the end of three years?3How much will he still owe after five years? 9. A variable rate demand loan showed an initial balance of $12000, payments of $5000 after 18 months, $4000 after 30 months, and a final payment after 5 years.Interest was 11% compounded semi-annually for the first two years and 7.5% compounded monthly for the remaining time.1What is the outstanding balance of the loan after the first payment at the end of 18 months?2What is the outstanding balance of the loan after the second payment at the end of 30 months?3What was the size of the final payment? 10. You made a registered retirement savings plan deposit of $1000 on December 1, 2008, at a fixed interest rate of3% compounded monthly. If you withdraw the deposit on August 1, 2015,how much will you receive? How much interest will you have made? 10. How much money would accumulate to $25000 at 4.5% compounded semi-annually in five years, four months? 11. A four-year non-interest bearing promissory note for $3750 is discounted 32 months after the date of issue at 5.5% compounded semi-annually. Find the proceeds of the note. 12. A six-year note for $1750 issued on December 1, 2012, with interest at 6.5% compounded quarterly, is discounted on July 1, 2015, at 7% compounded semi-annually.How much is the maturity value of the note? What are the proceeds of the note on July 1, 2015? 13. A debt of $4000 is repaid by payments of $1500 in nine months, $2000 in 18 months, and a final payment in 27 months.If interest was 10% compounded quarterly, what was the amount of the final payment? 14. Scheduled payments of $400 due today and $700 due with interest at 4.5% compounded monthly in eight months are to be settled by a payment of $500 six months from now and a final payment in fifteen months. Determine the size of the final payment if money is worth 6% compounded monthly. 15. Two debts ---- the first of $800 due six months ago and the second of $1400 borrowed one year ago for a term of three years at 6.5% compounded annually ---- are to be replaced by a single payment one year from now. Determine the size of the replacement payment if interest is 7.5% compounded quarterly and the focal date is one year from now. 16. Savona borrowed $7500 from her aunt today and has agreed to repay the loan in two equal payments to be made in one year and three years from now. What is the size of the equal payments if money is worth 8% compounded quarterly? 17. In how many years will $1000.00 grow to $2000 at 3.6% compounded quarterly? Answer with 2 decimal places. 18. A loan of $2000 taken out today is to be repaid by a payment of $1200 in six months and a final payment of $1000. If interest is 5.318% compounded quarterly, how many months from now should the final payment be made? Answer with whole number. 19. What is the semi-annually compounded interest rate if $200 accumulates to $318.77 in eight years? Answer in percentage with two decimal places. 20. What is the quarterly compounded interest rate if $200 accumulates to $318.77 in eight years? Answer in percentage with two decimal places. 21. What is the monthly compounded interest rate if $200 accumulates to $318.77 in eight years? Answer in percentage with two decimal places. 22. What is the effective interest rate of 6.75% compounded monthly? Answer in percentage with two decimal places. 23. What is the effective interest rate of 6.75% compounded quarterly? Answer in percentage with two decimal places. 24. Ariel has $1000 to invest. He can get interest rate 3.6% either compounded monthly or compounded semi-annually. How much more can he get by choosing monthly compounded interest if he invests the money for 5 years? 25. Find the nominal annual rate compounded semi-annually that is equivalent to an annual rate of 6% compounded quarterly. Answer in percentage with three decimal places. 26. Royal Bank currently offers 2.94% compounded semi-annually on premium savings deposit. His friend has told him that he would earn more interest if his savings compounded more frequently. What is the nominal annual rate compounded monthly that would be equivalent to his semiannual-rate? Answer in percentage with two decimal places.