Answer:
The maximum rate is 5.65%.
Explanation:
The break-even 30-day repo rate is the rate at which an investor can make zero profit by carrying the following described trading:
Initially raise 30-day repo at x rate; invest in 90-day bill at 5.30%;
As the 30-day repo is matured, raise fund from 60-day bill at 5.10% to repay the 30-day repo;
Then as the 60-day bill matures, use the proceed from 90-day bill to repay the amount.
In other word, we have the below calculation to illustrate the trading:
Amount repay to 02 fund raising ( through 30-day repo and 60-day bill) = Amount receipt from 90-day bill investment
[1 + x*30/365] x [ 1 + 5.1% *60/365 ] = 1 + 5.30% * 90/365
<=> 1 + x*30/365 = 1.004646 <=> x = 5.65%.
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on january 1, you sold short one round lot (that is, 100 shares) of snow’s stock at $21 per share. on march 1, a dividend of $3 per share was paid. on april 1, you covered the short sale by buying the stock at a price of $15 per share. you paid 50 cents per share in commissions for each transaction.
Answer:
Expenditures-2020 in the amount of $200
Explanation:
General fund supplies made last year were an estimated amount of $2000 was spent. So for last year there would have been a debit and credit leg for this transaction as.
In the present year 2020 it was received at an actual cost of $2,200. The excess cost (2,200-2,000= $200) must be recognised.
So the debit is passed into expenditures for this year 2020 for amount $200.
Answer:
a. positive
b. normative
c. positive
d. normative
Explanation:
Note that a normative statement as used in economics refers to a view of what should be done, or how things or policies should be or not be. While the Positive statement gives a point blank description of what the state of things are.
a. It is a fact of course that in the past decades U.S. companies have outsourced millions of job overseas, thus this is a positive (descriptive) statement.
b. By saying companies that outsource jobs are acting immorally indicates a normative or judgemental view of what is morally right.
c. This statement is a fact, because such actions is in line with economic theory; in effect would stop outsourcing jobs.
d. This is rather a view of what should be done. Which clearly indicates the statement as normative.
The correct answer is Tax free.
An Accelerated Death Benefit (ADB) enables the holder of a life insurance policy to obtain a portion of the death benefit from the insurer before passing away. The policyholder must typically have a terminal illness with a life expectancy of two years or fewer.
<h3>How are benefits for hastened death paid?</h3>
A lump amount may be provided as part of some hastened death benefits. With a benefit for a terminal disease, this happens more frequently. Payments for chronic illnesses are more frequently made. According to Schelhaas, some accelerated death benefit riders are simple because they pay a specific portion of the death benefit.
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