Answer:
Price of treasury bill = $9,803.92
Explanation:
<em>The price of the treasury note would be the present value of the future receivable on maturity discounted at the rate of return of 2% per six-month.</em>
The formula is FV = PV × (1+r)^(n)
PV = Present Value- ?
FV - Future Value, - 10,000
n- number of years- 1/2
r- interest rate - 2%
PV = 10,000 × (1.02)^(-1)
PV = 9,803.92
Price of treasury bill = $9,803.92
Answer:
$481,000
Explanation:
Bond issue costs are either direct or indirect costs:
- direct costs include underwriting fees, listing fees, professional fees, compliance costs and other costs related to the IPO or APO (secondary issues), e.g printing costs
- indirect costs include underpricing costs (IPO pricing is too low) and loss of proprietary information
Total bond issue costs = $22,000 + $170,000 + $9,000 + $280,000 = $481,000
Intersect. On a graph that is where they intersect.
