A Bank Accepts 90 Day Bills with a Face Value

question 110

Essay

A bank accepts 90 day bills with a face value of $20 million for a fee of 120 bps.This bill is sold to an investor at a yield of 4% p.a.The amount paid by the investor is $19 804 666.30.

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Definitions:

Mentally Ill

A term describing individuals who have significant disorders in thought, emotion, or behavior, resulting in distress or impaired functioning.

Cultural Competence

The ability of an individual or organization to interact effectively with people of different cultures and socio-economic backgrounds.

Transference Response

A psychological phenomenon where feelings, desires, and expectations of one person are redirected and applied to another person.

Unconditional Positive Regard

A concept in client-centered therapy suggesting therapists should offer their clients acceptance and support regardless of what the client says or does.