Question: please explain this in Excel with formulas The spot discount rates for two T-bills. 80-day T-bill and 170-day T-bill, are given below. A) Based on

please explain this in Excel with formulas please explain this in Excel with formulas The spot discount rates for

The spot discount rates for two T-bills. 80-day T-bill and 170-day T-bill, are given below. A) Based on the two T-bills's discount rates, what should be the quoted equilibrium price of an 80-day T-bill futures contract? Assume $1,000,000 face value. Keep in mind the quoted price is 100 - (discount rate). What should be the dollar amount implied by the futures quoted price (the amount to pay or to be paid at settlement)? B) You took 10 long T-bill futures contact for delivery in 80 days. It is now 20 days later since you took the long futures position and the T-bill futures for delivery in 60 days is quoted at 95.50. Calculate your gains(losses) on your position. Spot discount rates 80-day T-bill 170-day T-bill Face Value Dollar amount for the futures Price Quoted 6.00% 6.25% $1,000,000 A) B) 95.5 Flquoted on day 20) Gain(loss) Show your calculations below

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