Problem:
1. What is the difference in basis points between the discount rate of return (DR) and the investment rate of return (IR) on a 10 million commercial paper note purchased at a price of 9.85 million and scheduled to mature in 25 days?
2. A commercial paper note with 1 million par value and maturing in 60 days has an expected DR of 6%. What was its purchase price? What is this note's expected coupon-equivalent yield (IR)?