A CD with a Face Value of USD50 Million and a Coupon

question 174

Multiple Choice

A CD with a face value of USD50 million and a coupon of 4.50% was issued at par for 90 days and is now trading at 4.50% with 30 days remaining to maturity. What has been the capital gain or loss since issue?

• A) +USD 373,599.00
• B) +USD 186,099.00
• C) -USD 1,400.99
• D) Nil

---

Definitions:

Encoding

The process of converting information into a form that can be stored in memory.

Meaningful Code

Computer code or programming that is designed with clear purpose and functionality, making it easily understandable and relevant to its intended task.

Sensory Storage

Sensory storage is the very short-term storage of sensory information, part of the memory process that holds impressions of sensory information after the original stimuli have ended.

Memory Storage

The process by which information is maintained over a period of time in the brain for future use.