At auction on June 22, 2021, $100 000, 91-day treasury bills were sold for $99 600. An
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At auction on June 22, 2021, $100 000, 91-day treasury bills were sold for $99 600. An investor purchasing one of these T-bills held it for 40 days, then sold it to yield 1.4%.
(a) What was the original yield of the T-bill?
(b) At what price did the investor sell?
(c) What annual rate of return did the investor realize while holding his T bill?
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Related Book For
Contemporary Business Mathematics With Canadian Applications
ISBN: 9780135285015
12th Edition
Authors: Ali R. Hassanlou, S. A. Hummelbrunner, Kelly Halliday
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