Nbspassume a 1000 treasury bill is quoted to pay 5 percent


Treasury bill

 Assume a $1,000 Treasury bill is quoted to pay 5 percent interest over a six-month period.

a. How much interest would the investor receive?

b. What will be the price of the Treasury bill?

c. What will be the effective yield?

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Financial Management: Nbspassume a 1000 treasury bill is quoted to pay 5 percent
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