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4) Montrose bank purchased RM2.0 mil NID for value date 10 October 2019 at a price of 98.50. The certificate has the following features: Issue
4) Montrose bank purchased RM2.0 mil NID for value date 10 October 2019 at a price of 98.50. The certificate has the following features: Issue date: 6 August 2018 Maturity date: 6 August 2020 Coupon: 6-month KLIBOR + 0.25% Interest payment date: 6/8/18 (KLIBOR = 3%) 6/2/19 (KLIBOR 3.5%) 6/8/19 (KLIBOR = 4%) 6/2/20 (KLIBOR 3.8%) 6/8/20 (KLIBOR =4 4.2%) Compute proceeds paid by Montrose bank. 5) IKM corporation purchased RM2.0 million of Malaysian Government Securities (MGS) Bond Trading on 27 April 2016 over spot at 95.80(price per 100 units) with value date on 1 May 2016. The coupon date is every 27 Oct and 27 April at the coupon rate of 4.22%. i) Compute the principal, accrued interest and proceeds amount of MGS. ii) Based on the above, compute the proceeds amount if the MGS is sold in the money market at 105.00. 4) Montrose bank purchased RM2.0 mil NID for value date 10 October 2019 at a price of 98.50. The certificate has the following features: Issue date: 6 August 2018 Maturity date: 6 August 2020 Coupon: 6-month KLIBOR + 0.25% Interest payment date: 6/8/18 (KLIBOR = 3%) 6/2/19 (KLIBOR 3.5%) 6/8/19 (KLIBOR = 4%) 6/2/20 (KLIBOR 3.8%) 6/8/20 (KLIBOR =4 4.2%) Compute proceeds paid by Montrose bank. 5) IKM corporation purchased RM2.0 million of Malaysian Government Securities (MGS) Bond Trading on 27 April 2016 over spot at 95.80(price per 100 units) with value date on 1 May 2016. The coupon date is every 27 Oct and 27 April at the coupon rate of 4.22%. i) Compute the principal, accrued interest and proceeds amount of MGS. ii) Based on the above, compute the proceeds amount if the MGS is sold in the money market at 105.00
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