1 the discount yield on a money market instrument its, Ask an Expert

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1. The discount yield on a money market instrument _______ its actual yield.

A. understates B. equals C. overstates D. none of the above (Reasons as to why?)

2. How much would $20,000 due in 30 years be worth today if the discount rate were 5%?

A- $86,438.85

B- $571,428.57

C- $666.67

D- $4,627.55

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92718339

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