12 . Consider a T-bill that will have a 125 days to maturity at the time of forward contract expiration. The forward in this T-Bill is quoted at a discount of 1.24%. At expiration, the amount the long will pay the short for delivery of T-bill worth $1m par is closest to: A. $995,694.44 B. $995,753.42 C. $987,600
12 . Consider a T-bill that will have a 125 days to maturity at the time of forward contract expiration. The forward in this T-Bill is quoted at a discount of 1.24%. At expiration, the amount the long will pay the short for delivery of T-bill worth $1m par is closest to: A. $995,694.44 B. $995,753.42 C. $987,600
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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12 . Consider a T-bill that will have a 125 days to maturity at the time of forward contract expiration. The forward in this T-Bill is quoted at a discount of 1.24%. At expiration, the amount the long will pay the short for delivery of T-bill worth $1m par is closest to:
A. $995,694.44
B. $995,753.42
C. $987,600
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