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A 60-day $100,000 T-bill was bought for $99,500. What
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- You make an investment into a money market account at time T=0. In year T=5, the value of the money market account will be $5,000. The money market account pays an annual interest of R=6%, and interest is compounded on a quarterly basis. What is the present value of this account?A 330-day T-Bill is currently selling at a discount rate of 3.97%. What will be the price of the T-Bill with a face value of $2 million? What is the return on the T-bill if the investor holds until maturity?What is the present value of an investment that will pay $1,000 in one year's time, and $1,000 every year after that, when the interest rate is 8%?
- A firm is scheduled to receive payment of $32,000 in 2 years. What is the present value of this payment if r=4% compounded monthly?What is the present value of $1,400 a year at a discount rate of 8 percent if the first payment is received 7 years from now and you receive a total of 25 annual payments? Could you please show how this can be solve by using Excel? Thank you.How much should an investor be willing to pay for an investment product that offers to pay 25,000 pesossemi-annually starting today for the next 20 years if current interest rate is at 85?
- What is the compound yield on a Treasury bill that costs $98,830 and will be redeemed for $100,000 after 90 days? Assume 365 days in a year. Round your answer to one decimal place. % How much additional return would you have to earn if you had bought $100,000 worth of 90-day commercial paper for $98,566? Assume 365 days in a year. Round your answer to one decimal place. %What is the value today of $1,500 per year, at a discount rate of 9 percent, if the first payment is received 9 years from now and the last payment is received 27 years from today? Give typing answer with explanation and conclusionAn investor deposits $1000. How long will it take them to double the initial deposit if the investment earns a simple interest rate of 10% per annum?