Question
Your supervisor has asked you to do the following calculations: (a) A bank bill with 90 days to maturity is issued with a yield of
Your supervisor has asked you to do the following calculations:
(a) A bank bill with 90 days to maturity is issued with a yield of 3% pa. Face value is $100,000. Calculate the issue price of the bill.
(b) The bill in part (b) is sold after 30 days at a yield of 2.4% pa. Calculate and explain the holding period yield.
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Financial Management For Public Health And Not For Profit Organizations
Authors: Steven A. Finkler
2nd Edition
0131471988, 978-0131471986
