Assume that the current yield for a 90 day $100 000 bill is 6 5 This yield is expected to decrease to 5 If an investor traded on this information, what would be the profit on this information trading $280 78 $325 26 $359 60 $412 07 Among the money market instruments traded in the Australian money market bank accepted bill, promissory note, certificate of deposit, and treasury note, which one is the least risky instrument Bank accepted bill Promissory note Certificate of deposit Treasury note Generally speaking, equity is the most risky of the asset classes True False Shares in company XYZ are trading at $3 each immediately prior to going ex rights If the company has issued rights on the basis of 1 5 with a subscription price of $2 2 per share, what is the expected ex rights price of shares in XYZ $2 87 per share $2 2 per share $3 per share None of the above Shares in company XYZ are trading at $3 each immediately prior to going ex rights If the company has issued rights on the basis of 1 5 with a subscription price of $2 2 per share, what is the expected ex rights price of shares in XYZ $2 87 per share $2 2 per share $3 per share None of the above 1 Suppose that an 8 coupon CPI linked bond paying annual coupons is issued with a face value of $100 and a term of five years Suppose that inflation, as measured by the CPI, is 2 during first two years and then 5 for the remaining three years What are the face value and the coupon payment for the second year

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Assume that the current yield for a 90-day $100 000 bill is 6.5%. This yield is expected to decrease to 5%. If an investor traded

Assume that the current yield for a 90-day $100 000 bill is 6.5%. This yield is expected to decrease to 5%. If an investor traded on this information, what would be the profit on this information trading?
1. $280.78
2. $325.26
3. $359.60
4. $412.07
Among the money market instruments traded in the Australian money market: bank-accepted bill, promissory note, certificate of deposit, and treasury note, which one is the least risky instrument?
1. Bank-accepted bill
2. Promissory note
3. Certificate of deposit
4. Treasury note
Generally speaking, equity is the most risky of the asset classes.
1. True
2. False
Shares in company XYZ are trading at $3 each immediately prior to going ex-rights. If the company has issued rights on the basis of 1:5 with a subscription price of $2.2 per share, what is the expected ex-rights price of shares in XYZ?
1. $2.87 per share.
2. $2.2 per share
3. $3 per share
4. None of the above
Shares in company XYZ are trading at $3 each immediately prior to going ex-rights. If the company has issued rights on the basis of 1:5 with a subscription price of $2.2 per share, what is the expected ex-rights price of shares in XYZ?
1. $2.87 per share.
2. $2.2 per share
3. $3 per share
4. None of the above

1. Suppose that an 8% coupon CPI-linked bond paying annual coupons is issued with a face value of $100 and a term of five years. Suppose that inflation, as measured by the CPI, is 2% during first two years and then 5% for the remaining three years. What are the face value and the coupon payment for the second year?