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You are a Owner of a Donut Shop. You want to ask the bank for a loan to complete a rennovation. The loan is backed

You are a Owner of a Donut Shop. You want to ask the bank for a loan to complete a rennovation. The loan is backed by the future two year profits of the hotel.
Hotel Expected Earnings:
In 6mos. $300,000
In 1yr. $200,000
In 1.5yr. $300,000
In 2yr. $200,000
Bonds availible for trading:
1. T-Note | Maturity: 2yr | Face: $1000| Coupon: 10% Semi-annual | Trades at Par
2. T-Note | Maturity: 2yr | Face: $1000| Coupon: 2% Semi-annual | Trades at $930
3. T-Bill | Maturity: 1yr | Face: $1000| Coupon: 0% Semi-annual | Trades at $950
4. T-Bill | Maturity: 0.5yr | Face: $1000| Coupon: 0% Semi-annual | Trades at $970
Question:
1.a. What is the largest loan the bank would be willing to give you?
1.b. If there is an expected inflation rate of 5% every 6mos., what is the largest loan the bank would be willing to give you?
1.c. T-Notes have changed, new T-Note:
T-Note | Maturity: 2yr | Face: $1000| Coupon: 5% Semi-annual | Trades at Par
Now what's the largest loan the bank will make you and comment on what the differences are from the first question.

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