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SSSSS [86.1K]
3 years ago
13

Jenna decides to purchase a U.S. Treasury Bill for 95,000. The Treasury Bill matures in 180 days for 100,000. Let QR be the quot

ed rate on this U.S. Treasury Bill. Let j be the annual effective yield on this U.S. Treasury Bill assuming a 365 day year. Calculate j−QR.
Business
1 answer:
babymother [125]3 years ago
6 0

Answer:

J-QR =0.96

Explanation:

Quoted interest rate(QR) is nominal interest rate that does not take compounding into consideration

Effective interest rate(J) is real interest rate that accounts for compounding

face value of tbill = 100,000

price = 95,000

time remaining for maturity, n = 180

QR T-Bill = [(Face Value - Price)/(Face Value)] *(360/n) = [(100,000-95,000)/100,000]*(360/180) = (5000/100,000)*2 = 0.10 or 10%

j = (1+ ((Face Value - Price)/price))(365/n) -1 = (1+((100,000-95,000)/95,000))(365/180) -1 = (1+(5000/95000))2.027778 -1 = 0.1096131

j = 0.1096131 or 10.96131% or 10.96%

Therefore j-QR = 10.96-10 = 0.96%

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torisob [31]

A blueprint for creating a vacation plan is;

  • Total budget= $3,000
  • Transportation= $700
  • Lodging for 6 days= $1,200

<h3>What is a Vacation?</h3>

This refers to the time taken out for relaxation and away from work and stress to a luxury destination.

Hence, we can see that the complete plan is given below:

  • Feeding= $600
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  • Miscellaneous= $400.

Read more about vacation plans here:
brainly.com/question/860450

4 0
2 years ago
A United States-based faculty member goes on sabbatical and works in Finland for a government-run university teaching classes fo
vodomira [7]

Answer:

A $38,000- Germany:  B $50,000- Finland: C $0 , America

Explanation:

GDP represents the total value of all the goods and services produced within the country. The expenditure method is one of the methods that economist use in calculating the value of GDP.  Expenditure refers to spending. In measuring the GDP, the expenditure method takes account of expenditure on all the output of a country. Economists add up the values of finals goods and services produced within the borders of a country and multiply them by their prices. The result is the nominal GDP.

The formula for calculating GDP is as follows

GDP equals consumer spending on goods and services plus investor spending on business capital goods plus government spending on public goods and services plus net exports​

In Germany, GDP will increase by $38,000. It is the value of the car produced in Germany. In the formula, it is part of the net exports for the country.

In Finland, the GDP will increase by $50,000. It is the value of services offered by the American while working in Finland. In Calculating GDP, all output within the country is considered regardless of the person who produced it.

In the USA, the GDP will increase by 0$. The car was bought in the US, but it was an import. The expenditure formula does not consider imports. The amount of $50,000 was not earned within the borders of the US.

8 0
3 years ago
Eagle Equipment Corporation discharges Jay, who then sues Eagle for employment discrimination under Title VII. Eagle learns that
Karo-lina-s [1.5K]

Answer:

The correct answer is D

Explanation:

Title VII of the 1964, Civil Rights Act, states the federal law and it prohibits the employers from discriminating the employees on the grounds of color, sex, religion, race and national origin.

So, in this case, Jay sues the corporation against this title, but the corporation learns that Jay lied on his job application and on this ground the corporation would fired him. This is done after acquiring the evidence and it is not a defense.

4 0
3 years ago
You want to buy a new sports coupe for $74,500, and the finance office at the dealership has quoted you a loan with an APR of 6.
Pachacha [2.7K]

Answer:

a) Monthly payments = $22,969.38

b) Effective rate of return= 7.12%

Explanation:

<em>Loan Amortization: A loan repayment method structured such that a series of equal periodic installments will be paid for certain number of periods to offset both the loan principal amount and the accrued interest. </em>

The monthly installment is computed as follows:  

Monthly installment= Loan amount/annuity factor

Loan amount; = 74,500

Annuity factor = (1 - (1+r)^(-n))/r

r -monthly rate of interest, n- number of months

r- 6.9%/12 = 0.575 % = 0.00575, n = 36 =

Annuity factor = ( 1- (1+00575)^(-36)/0.00575= 32.434

Monthly installment = Loan amount /annuity factor

=  74,500/32.434= 22,969.38

Required monthly payments = $22,969.38

Effective annual interest rate

Effective rate of return = ((1+r)^n- 1) × 100

where r - monthly interest rate- 6.9%/12 = 0.575%

n- number of months= 12 months

Effective rate of return - (1+00575)^(12) - 1× 100=  7.12%

Effective rate of return= 7.12%

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3 years ago
Mary upset with her business law instructor after she failed a test,
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That sucks hopefully she feels better
7 0
3 years ago
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