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You just won a $1,000,000 lottery. Although tempted to spend your win, you have decided to invest the $1,000,000 in Government of Canada Treasury Bills

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You just won a $1,000,000 lottery. Although tempted to spend your win, you have decided to invest the $1,000,000 in Government of Canada Treasury Bills until you gain a better understanding of finance. If 182-day T Bills currently have a Bond Equivalent Yield (BEY) of 4.5%, how much will a T Bill with a $1,000,000 face value cost to purchase? Multiple Choice $978,054.07 $988,905.30 $260,534 $989,085.92 If you purchase the T Bill you valued in Question #32 (a $1,000,000 Face Value, 182 days to maturity and a BEY of 4,5%), how much interest will you earn If you hold the T Bill to maturity? Multiple Choice $11,094.70 $21.945.93 $15,684.02 $10,914.08 Now assume that you have to sell the T Bill purchased in Question #32 above (a $1,000,000 Face Value, 182 days to maturity and a BEY of 4.5%), after you have held it for 30 days. If BEYs have risen to 5%, what price can you sell the T Bill for? Multiple Choice $991,713.08 O $992,335.21 O $979,602.79 O $995,907.23

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