QUESTION 1 [2 marks] Calculate Neds purchase yield rate of this bank bill (simple interest rate p.a.). Express your answer as a percentage and rounded to two decimal places. Select the correct answer.

a. 3.50% b. 3.52% c. 4.77% d. 5.62%

QUESTION 2 Calculate Neds sale price on 21 August 2022 (rounded to three decimal places). Select the correct answer.

a. $97,701.734 b. $98,697.277 c. $99,119.170 d. $99,157.703

[2 marks]

2

QUESTION 3 [2 marks] Calculate Neds holding period yield (expressed as a percentage and rounded to two decimal places). Select the correct answer.

a. 2.48% b. 2.61% c. 2.95%

d. None of above option is correct.

QUESTION 4 [2 marks] Find Neds capital gain/loss component of the dollar return on his investment (rounded to two decimal places). The dollar return on the investment means the difference between the sale price and the purchase price. Select the correct answer.

a. 194.78 b. -233.00 c. -421.89

d. None of above option is correct.