Today's date is 12 March 2022. Using this information, consider the following debt securities.

Official Cash Rate: is 0.50%

Bank Bill: A bank bill with a face value of $7.125 million which has 391 days to maturity and is trading at a yield of 0.72%

Bond A $52.8412 million face value bond which has a 1.45% coupon, a 20 March 2042 maturity, that is trading at a yield to maturity of 2.17% p.a.

Required

1. In one word, what is the shape of the yield curve?

1. What is the fair market price for:

1. 1. Bank bill

1. 1. Bond

1. 370 days later, there is a parallel increase in yields across the yield curve by 0.13% (ie if the yield two days earlier was 0.52% it now is 0.65%). What is the fair market price for your debt securitites now?

1. 1. Bank bill

ii. Bond

1. In percentrage terms to two decimal places, what is the annualised holding period return for the holder of the bond over the period