1. Suppose that a bank enters a reverse repurchase agreement in which it agrees to buy central bank funds from one of its correspondent banks at a price of 10.000.000 $, with promise to sell these funds back at a price of 10.000.291,67 $ after 5 days. What is the repo yield? (1 year = 360 days)

a) 0,18%

b) 0,19%

c) 0,20%

d) 0,21%

e) Other:

2. You have just been offerred a bond for 863,73 $. The coupon rate is 8% payable annually, and interest rates are 10%. You want to know how many more interest payments wou will receive, but the party selling the bond cannot remember. If the par value is 1.000 $, how many interest payments remain?

a) 12

b) 11

c) 10

d) 9

e) Other: