Last week, you sold a futures contract on 5,000 troy ounces of silver at a settle price of S 23.10. Today, you made delivery and the daily settle price was $23.15. What amount will you receive at the time of delivery? Assume yesterday's settle price was $23.19.
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Last week, you sold a futures contract on 5,000 troy ounces of silver at a settle price of S 23.10. Today, you made delivery and the daily settle price was $23.15. What amount will you receive at the time of delivery? Assume yesterday's settle price was $23.19.
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- Reference rate is 6-month Treasury bill (182 days to maturity). The FRA settles in 270 days. The contract rate is 0.12%. The notional amount is $100 million. At settlement, the yield on 6-month Treasury bills is .15%. What is the amount of compensation that must be paid under the agreement at settlement? (You have to use enough precision to get the cents right in the answer.) Use a 360 day year in your calculations.On July 10, 2012, you purchase a $10,000 par T-note that matures in five years. The settlement occurs on July 11, 2019. The coupon rate is 8 percent and the current price quote is 96.0388 percent. The last coupon payment was on 14 days before settlement, and the next coupon payment will be paid on 169 days from settlement. Calculate the accrued interest due to the seller from the buyer at settlement.A MERCHANT ACQUIRES A LOT OF MERCHANDISE WORTH $11,500.00WHICH AGREES TO SETTLE THROUGH AN IMMEDIATE PAYMENT OF $4,800.00 AND A FINAL PAYMENT 6 MONTHS LATER. YOU AGREE TO PAY 13% SIMPLE ANNUAL INTEREST ON THE BALANCE, HOW MUCH WILL YOU PAY WITHIN 6 MONTHS?
- You are offered a $3,000,000 contract to be paid to you over 6 years at $500,000 per year. The first payment will be made at the end of the year. If the current market interest rate is 3.5%, what is the contract really worth to you? $2,500,000.00 $3,275,076.09 $2,664,276.51 $3,000,000.00On July 10, 2012, you purchase a $10,000 par T-note that matures in five years. The settlement occurs on July 11, 2019. The coupon rate is 6 percent and the current price quote is 97.6232 percent The last coupon payment was on 14 days before settlement, and the next coupon payment will be paid on 167 days from settlement. Calculate the accrued interest due to the seller from the buyer at settlement. (round your answer to 2 decimal places)Suppose that a party wanted to enter an FRA that expires in 121 days and is based on 55-day LIBOR. The dealer quotes a rate of 0.049 on the FRA. Assume that at expiration, the 55-day LIBOR is 0.029, and the notional amount is USD10,000,000. What is the payoff of the FRA short position?
- On January 1,2022, Ace Company finished landscaping services and accepted in exchange a 10% $400000 promissory note with a due date of December 31,2024. Interest is receivable at December 31 each year. Notes with similar risks have a market rate of interest of 5%. (A.) Determine the value of the following N, I/Y, PMT, FV. B The present value of the note was $_______. (C) Prepare a schedule of Note Discount/Premium Amortization for Ace Company under the effect interest method (D) Prepare the journal entries on the following dates: Jan 1, 2022 and Dec 31, 2023On January 1,2022, Ace Company finished landscaping services and accepted in exchange a 10% $400000 promissory note with a due date of December 31,2024. Interest is receivable at December 31 each year. Notes with similar risks have a market rate of interest of 5%. (A.) Determine the value of the following N, I/Y, PMT, FV. B The present value of the note was $_______. (C) Prepare a schedule of Note Discount/Premium Amortization for Ace Company under the effect interest methodOn January 1, 2022, Slack Company finished legal services and accepted in exchange a 5% $400,000 promissory note with a due date of December 31, 2024. Interest is receivable on January 1 of each year. Notes with similar risk have a market rate of interest of 10%. Set financial calculators to zero decimal place. Required: (a) Determine the value of the following: N = I/Y = PMT = FV = (b) The present value of the note was (c) Prepare a Schedule of Note Discount/Premium Amortization for Slack Company under the effective interest method.
- On January 1, 2022, Slack Company finished legal services and accepted in exchange a 5% $400,000 promissory note with a due date of December 31, 2024. Interest is receivable on January 1 of each year. Notes with similar risk have a market rate of interest of 10%. Set financial calculators to zero decimal place. Required: (a) Determine the value of the following: N = I/Y = PMT = $ FV = $Asset XYZ is selling for $200 in the cash market. Asset XYZ pays the holder $16 per year in quarterly distributions ($4 each quarter), with the next distribution due in 3 months (one quarter of a year). The 3-month interest rate is 6% per year. What is the price of the future contract with a delivery date 3 months from today?Live Forever Insurance Company is selling a perpetual annuity contract that pays $2,700 monthly. The contract currently sells for $329,000. a. What is the monthly return on this investment vehicle? Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16. b. What is the APR? Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16. c. What is the effective annual return? Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16. a. Monthly return b. Annual percentage rate c. Effective annual return % % %