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When the Australian government issues government bonds during a tender, the cumulative aggregate/total demand by bidders is the following: Yield Total cumulative aggregate demand (in

When the Australian government issues government bonds during a tender, the cumulative aggregate/total demand by bidders is the following:

Yield

Total cumulative aggregate demand (in AUD million face value)

2.20%

2,200

2.15%

2,050

2.10%

1,950

2.05%

1,900

2.00%

1,820

Calculate the ratio that will be used to calculate the allocation of government bonds to the bidders who bid the cut-off yield. Explain in details the process you have followed to calculate the ratio.

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