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need calculation process A parcel of 90 day BABS with a face value of $50 million is purchased at 2.25% p.a. and sold 30 days
need calculation process
A parcel of 90 day BABS with a face value of $50 million is purchased at 2.25% p.a. and sold 30 days later when yields have fallen to 2.0% p.a. Calculate: (i) the holding period yield achieved (2 marks) (ii) the amount of interest earned on the investment (2 marks) (iii) any capital gains or losses that resulted (2 marks) Step by Step Solution
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