You are looking at a quote for a treasury bill with 245


You are looking at a quote for a treasury bill with 245 days to maturity, and observe that the Ask Yield is quoted at 0.08, which is a bank-discount yield.

What is the actual asking price for this bill, if its face value is $10,000?

Recall that the bank-discount yield calculation is:

r = (F-P)/F * (360/n)

Where F is the face value, P is the price, and n is the number of days to maturity.

Request for Solution File

Ask an Expert for Answer!!
Financial Management: You are looking at a quote for a treasury bill with 245
Reference No:- TGS02699427

Expected delivery within 24 Hours