Lenny, who is an active trader, buys a Treasury note with the following characteristics: Face Value: $1,000, Maturity: 90 days.
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b) What is the annual rate of return (HPY, Holding Period Yield) for Lenny? [4 marks] c) What is the current Yield to Maturity (YTM) for this security? [4 marks] Note: Show all your workings for each part.