You have $2000 to invest in a Certificate of Deposit. The local bank offers 2.75% for a 24 month FDIC insured CD. A non-depository institution offers 9% on a 24 month CD. Show Work. A) What is the risk premium (in percentage) b) what does it mean? You are depositing $7500 in a 10 year Treasury bill that pays 5.9% interest. How much interest will you accrue if you hold the Treasury bill until maturity? Show work. You have $ 14,500 excess cash to invest. A $ 14,500 T-bill can be purchased (maturing to value at $20,000, or three $4800 CDs can be purchased with a guaranteed 10% after 12 months. Which will give a better return (in percentages)? Show work. You have a net salary of $90,000 and a monthly expense of $3000. You would like to have a six month emergency fund set aside in a very liquid account; 20% placed into long term savings, and any excess liquidity to accessible within 1 year time frame. How would you manage your money so that it would get the optimal returns at 3 months, 6 months, and 1 year? You purchase a S30,000 T-bill for $25,000. A few months later you sold the T-bill for $28,000. What was the return on the t-bill? Show work