RBH bank placed deposit of RM 3.0 million with CMB bank under Negotiable instruments of deposit (NID). To certify the deposit placement, CMB bank issued NID with the following features:

Issue date = 8 March 2020

Maturity date = 8 November 2020

Coupon rate = 5% p.a.

1.Determine the redemption proceeds received by the RBH bank at the end of the maturity period.

2. On 20 April 2020, RBH bank decided to sell the NID to Investor A for spot value date of 22 April 2020 at a yield of 5.5% p.a. compute amount of proceed paid by investor A to RBH bank. Use timelines to show details of this transaction.