do fast Lydia purchased a $100,000 150-day T-bill when the prevailing yield on T - billswas 4.5%. She sold the T - bill 60 days.later when the prevailing yield was 4.2% .What interest rate did Lydia earn during-the 60 day period? (Round your answerto three decimal places.)

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Answered: Lydia purchased a $100,000 150-day T-…

Understanding Business

12th Edition

ISBN:9781259929434

Author:William Nickels

Publisher:William Nickels

Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment

Section: Chapter Questions

Problem 1CE

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Lydia purchased a $100,000 150-day T- bill when the prevailing yield on T - bills was 4.5%. She sold the T - bill 60 days. later when the prevailing yield was 4.2% . What interest rate did Lydia earn during - the 60 day period? (Round your answer to three decimal places.)