receive R52991 in two years time and you can earn an interest rate of 8% per annum compounded annually how
much in rands (no cents) should you invest today?
Answer: 45431
Question 17
Answer saved
M arked out of 2.00
Since a treasury bill is a short term government security the treasury bill rate is part of the bond market.
True
False
Clear my choice
Question 18
Answer saved
M arked out of 2.00
The coupon interest rate is interest rate the issuer promises to pay the bondholder.
True
False
Clear my choice
,Question 19
Answer saved
M arked out of 2.00
The treasury bill rate is the interest rate indicate on the treasury bill.
True
False
Clear my choice
Question 20
Answer saved
M arked out of 2.00
If a 12 month bill with a face value of R99 000 is sold for R94 000 the discount is R 5000 and the discount
rate is 5.1 % (one decimal). The yield or interest earned by the holder of the bill is 5.3 % (one
decimal).
, S2 Welcome Message Assessment 5
QUIZ
Question 11
Answer saved
M arked out of 2.00
You can be wealthy without having a lot of money.
True
False
Clear my choice
Question 12
Answer saved
M arked out of 2.00
Since income is paid in a monetary unit money and income is the same thing.
True
False
Clear my choice
Question 13
Answer saved
M arked out of 3.00
Based on the following information calculate the total interest paid in rands (no cents) at the end of the period:
Present value: R7214
Simple interest rate: 10%
Period: 5 years
Answer: 3607
, Question 14
Answer saved
M arked out of 3.00
Based on the following information calculate the total interest paid in rands (no cents) at the end of the period:
Present value: R40 000
Compound interest paid annually: 5%
Period: 2 years
Answer: 4100.00
Question 15
Answer saved
M arked out of 3.00
Based on the following information calculate the total interest paid in rands (no cents) at the end of the period:
Present value: R46 000
Compound interest paid annually: 3%
Period: 2 years
Answer: 2801
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller oscardiura. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $5.93. You're not tied to anything after your purchase.
