Good FRA Q

CFA Level I
#1

If the quoted discount yield on a 128 day LIBOR $1 million T-bill descreases from 3.17% to 3.07%, how much has the holder of the T-bill gained or lost? a.) Lost $284 b.) Gained $800 c.) Gained $284 d.) Lost $800

#2

I am getting Gained 400. May be I am doing something awfully wrong ! And why did you refer it to a FRA q ?

#3

D

#4

How is that D? I get the value $350

#5

answer is C decrease in yields = increase for TBILL holder in the amount of (3.15%-3.07%) x (128/360) x 1,000,000= $284.444

#6

There’s a typo in the question, the initial yield is written as 3.17 instead of 3.15 If you use 3.17 the answer comes to 355

#7

nice catch nir, sorry bout that

#8

Did anyone get this one?