Commonwealth Bank agrees to establish a 270-day bill facility using 90-day bank bills. The face value of the facility is $10 million, and the issuer (borrower) is charged an acceptance fee of 60 basis

 Commonwealth Bank agrees to substantiate a 270-day beak dexterity using 90-day bank beaks. The countenance estimate of the dexterity is $10 favorite, and the issuer (borrower) is teeming an rejoinder fee of 60 premise points. Calculate the net currency flows from 1) the issuer’s and 2) the bank’s perspective, respectively. Briefly illustrate what each of the currency flows stands for. (The primeval bundle is issued at a chaffer allow of 4.80% p.a., the remedy at 4.65% and the third at 5.00%.)

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