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Chrystal borrowed $1,000,000 from MQ Bank for one year at simple interest rate of 3.4% p.a. Unfortunately, she misread the documentation for the loan, and
Chrystal borrowed $1,000,000 from MQ Bank for one year at simple interest rate of 3.4% p.a. Unfortunately, she misread the documentation for the loan, and has misunderstood the interest charge. In fact, MQ Bank will charge her interest (in a single payment at the end of the loan) at a rate of 3.4% p.a., compounded half-yearly. What additional amount will Chrystal have provide to repay the loan, due to this misunderstanding? a. 35156.00 b. 289.00 c. 17000.00 d. 0.00 Iolanda purchased a Treasury bond with a coupon rate of 2.16% and face value of $100. The maturity date of the bond is 15 April 2029 . (a) Luciana plans to purchase lolanda's Treasury bond on 11 April 2018. What price will Luciana pay (rounded to four decimal places)? Assume a yield of 3.62% p.a. compounded half-yearly. a. 86.8132 b. 86.8488 c. 87.3060 d. 86.8146
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