4/2/2020 4/9/2020 4/16/2020 4/23/2020 4/30/2020 5/7/2020 5140000 1.528 1.535 1.515 1.523 1.518 1.520 1.522 1.518 1.525 1.505 1.513 1.508 1.510 1513 -0.015 -0.008 -0.023 -0.015 -0.013 -0.018 0030 1.5489 1.557 1.537 1.545 1.5363 1.544 LEICE
4/2/2020 4/9/2020 4/16/2020 4/23/2020 4/30/2020 5/7/2020 5140000 1.528 1.535 1.515 1.523 1.518 1.520 1.522 1.518 1.525 1.505 1.513 1.508 1.510 1513 -0.015 -0.008 -0.023 -0.015 -0.013 -0.018 0030 1.5489 1.557 1.537 1.545 1.5363 1.544 LEICE
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
Related questions
Question

Transcribed Image Text:ABLE 5-5 Treasury Bill Rates
Friday, December 27, 2019
Treasury bill bid and ask data are representative over-the-counter quotations as of 3pm
Eastern time quoted as a discount to face value. Treasury bill yields are to maturity and
based on the asked quote.
Maturity
12/31/2019
1/2/2020
1/7/2020
1/9/2020
1/14/2020
1/16/2020
1/21/2020
1/23/2020
1/28/2020
1/30/2020
2/4/2020
2/6/2020
2/11/2020
2/13/2020
2/18/2020
2/20/2020
2/25/2020
2/27/2020
3/5/2020
3/12/2020
3/19/2020
3/26/2020
4/2/2020
4/9/2020
4/16/2020
4/23/2020
4/30/2020
5/7/2020
5/14/2020
5/21/2020
5/28/2020
6/4/2020
6/11/2020
Bid
1.478
1.408
1.495
1.463
1.505
1.508
1.508
1.503
1.528
1.510
1.523
1.520
1.535
1.525
1.533
1.525
1.530
1.513
1.525
1.520
1.500
1.535
1.528
1.535
1.515
1.523
1.518
1.520
1.523
1.515
1.533
1.545
1.538
Asked
1.468
1.398
1.485
1.453
1.495
1.498
1.498
1.493
1.518
1.500
1.513
1.510
1.525
1.515
1.523
1.515
1.520
1.503
1.515
1.510
1.490
1.525
1.518
1.525
1.505
1.513
1.508
1.510
1.513
1.505
1.523
1.535
1.528
Chg
+0.005
-0.013
+0.005
-0.008
+0.007
unch.
-0.020
-0.025
-0.010
-0.030
-0.020
-0.020
-0.028
-0.025
-0.018
-0.018
n.a.
-0.033
-0.020
-0.023
-0.035
-0.013
-0.015
-0.008
-0.023
-0.015
-0.013
-0.018
-0.020
-0.023
-0.008
unch.
-0.015
Asked Yield
1.492
1.417
1.510
1.477
1.521
1.524
1.524
1.519
1.545
1.523
1.54
1.538
1.553
1.543
1.551
1.544
1.549
1.527
1.5445
1.540
1.520
1.556
1.5489
1.557
1.537
1.545
1.5363
1.544
1.5465
Act
1.539
1.558 Go t
1.571
1.564

Transcribed Image Text:Problem 5-8 (LG 5-2)
Refer to Table 5-5.
Assume a face value of $10,000.
a. Calculate the ask price of the Treasury bill maturing on 04 February, 2020, as of December 27, 2019.
b. Calculate the bid price of the Treasury bill maturing on 07 May, 2020, as of December 27, 2019.
(For all requirements, use 360 days in a year. Do not round intermediate calculations. Round your answers to 2 decimal places.
(e.g., 32.16))
a
b.
Answer is complete but not entirely correct.
Amount
Treasury bill ask price
Treasury bill bid price
$
$
9.976.85 O
9,947 290
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