Luke purchased a 180-day $500, 000 bank bill on 1 January 2019 at a yield rate of 3.18% p.a. (simple interest rate). He sold this bank bill on 15 April 2019 at a yield rate of 3.06% p.a. (simple interest rate).

a. [3 marks] Draw a carefully labelled cash flow diagram to represent the above financial transaction. Draw your cash flow diagram from Lukes perspective.

a. 1 mark for the statement of perspective. 1 mark for the cash outflow on 1/1/2019. 1 mark for the cash inflow on 15/4/2019.

Here is the answer from a student a. Answer for part a sale price 500000 A T=3.18% Date 1/1/2019 15/4/2019 1/2/2018 Day 0 180 r=3.06%6 Purchase price 500000 How many marks should we give for part a? a. 2 Ob. 3 O c. 0 d. 1 Here is the answer from a student a. Answer for part a sale price 500000 A T=3.18% Date 1/1/2019 15/4/2019 1/2/2018 Day 0 180 r=3.06%6 Purchase price 500000 How many marks should we give for part a? a. 2 Ob. 3 O c. 0 d. 1