MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question. 1) A T-bill quote sheet has 90-day T-bill quotes with a 5.17 ask and a 5.11 bid. If the bill 1) has a $10,000 face value, an investor could sell this bill for . A) $9870.75 B) $9872.25 C) $10,000 D) $9874.00 2) A benchmark index has three stocks priced at $26, $49, and $59. The number of 2) outstanding shares for each is 365,000 shares, 435,000 shares, and 583,000 shares, respectively. If the market value weighted index was 1000 yesterday and the prices changed to $26, $47, and $61 today, what is the new index value? A) 1000 B) 995 C) 991 D) 1005 3) An investor buys a T-bill at a bank discount quote of 4.50 with 120 days to maturity for 3) 9850.00. The bill has a face value of $10,000. The investor's bond equivalent yield on this investment is . A) 4.63% B) 5.01% C) 4.57% D) 4.51%

Benton company (bc), a calendar year entity, has one owner, who is in the 37% federal income tax bracket (any net capital gains or dividends would be taxed at a 20% rate). bc's gross income is $395,000, and its ordinary trade or business deductions are $245,000. ignore the standard deduction (or itemized deductions) and the deduction for qualified business income. if required, round computations to the nearest dollar. a. bc is operated as a proprietorship, and the owner withdraws $100,000 for personal use. bc's taxable income for the current year is $ , and the tax liability associated with the income from the sole proprietorship is $ . b. bc is operated as a c corporation, pays out $100,000 as salary, and pays no dividends to its shareholder. bc's taxable income for the current year is $ , and bc's tax liability is $ . the shareholder's tax liability is $ . c. bc is operated as a c corporation and pays out no salary or dividends to its shareholder. bc's taxable income for the current year is $ , and bc's tax liability is $ . d. bc is operated as a c corporation, pays out $100,000 as salary, and pays out the remainder of its earnings as dividends. bc's taxable income for the current year is $ , and bc's tax liability is $ .

A$100 million interest rate swap has a remaining life of 10 months. under the terms of the swap, the six-month libor is exchanged semi-annually for 12% per annum. the six-month libor rate in swaps of all maturities is currently 10% per annum with continuous compounding. the six-month libor rate was 9.6% per annum two months ago. what is the current value of the swap to the party paying floating? what is its value to the party paying fixed?

After hearing a knock at your front door, you are surprised to see the prize patrol from a large, well-known magazine subscription company. it has arrived with the good news that you are the big winner, having won $21 million. you have three options.(a) receive $1.05 million per year for the next 20 years.(b) have $8.25 million today.(c) have $2.25 million today and receive $750,000 for each of the next 20 years.your financial adviser tells you that it is reasonable to expect to earn 13 percent on investments.