Calculate the Capital Gain or Loss That Results When a Parcel

question 82

Essay

Calculate the capital gain or loss that results when a parcel of 90 day NCDs with a face value of $50 million is bought at 3.25% p.a.and sold later the same day after yields have fallen to 3% p.a.

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Definitions:

Revenue Journal

A specialized accounting journal used to record all the revenue transactions of a business, ensuring they are accounted for in the period they are earned.

Office Supplies

Items used in offices for daily operations, including paper, pens, and other materials not directly linked to the manufacturing process.

Supplier's Account

An account used to record transactions and balances owed to suppliers.

Customer Account

An account representing the ongoing transactions, balances, and records of purchases and payments between a company and its customer.