Question: The assignment questions are based on quotes on Treasury bills (see below, Bloomberg.com 2/11 @3.37pm). Answer the following three questions: 1. What is the rate
The assignment questions are based on quotes on Treasury bills (see below, Bloomberg.com 2/11 @3.37pm). Answer the following three questions: 1. What is the rate of return it an investor buys the 6-month Treasury bill at the quoted price/discount? 2. What is the rate of discount investors receive if investors buy the 12-month Treasury bill? 3. What was the yield last year for the 3-month Treasury Bal? 1) NAME COUPON PRICE YIELD 1 MONTH 1 YEAR TIME (EST) GB3.GOV 0.00 0.04 0.04% -4 3 Month -153 3:33 PM GB6:GOV 0.00 0.05 0.05%-3 - 149 3:34 PM 6 Month GB12:GOV 0.00 0.07 0.07%-3 3:33 PM 12 Month The assignment questions are based on quotes on Treasury bills (see below, Bloomberg.com 2/11 @3.37pm). Answer the following three questions: 1. What is the rate of return it an investor buys the 6-month Treasury bill at the quoted price/discount? 2. What is the rate of discount investors receive if investors buy the 12-month Treasury bill? 3. What was the yield last year for the 3-month Treasury Bal? 1) NAME COUPON PRICE YIELD 1 MONTH 1 YEAR TIME (EST) GB3.GOV 0.00 0.04 0.04% -4 3 Month -153 3:33 PM GB6:GOV 0.00 0.05 0.05%-3 - 149 3:34 PM 6 Month GB12:GOV 0.00 0.07 0.07%-3 3:33 PM 12 Month
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