3. T-Bill Pricing (1.0 points) A dealer quotes a 220-day US Treasury Bill trading at a discount of 4%. What is the equilivant yield quoted with continuous compounding and assuming a 365 day year? A) 3.975% B) 4.000% C) 4.106% D) 4.224% E) 4.277%

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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3. T-Bill Pricing (1.0 points)
A dealer quotes a 220-day US Treasury Bill trading at a discount of 4%. What is the
equilivant yield quoted with continuous compounding and assuming a 365 day year?
A) 3.975%
B) 4.000%
C) 4.106%
D) 4.224%
E) 4.277%
Transcribed Image Text:3. T-Bill Pricing (1.0 points) A dealer quotes a 220-day US Treasury Bill trading at a discount of 4%. What is the equilivant yield quoted with continuous compounding and assuming a 365 day year? A) 3.975% B) 4.000% C) 4.106% D) 4.224% E) 4.277%
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