On April 1, $10,000.00 364-day treasury bills were auctioned off to yield 1.91%.(a) What is the price of each $10,000.00 T-bill on April 1?(b) What is the yield rate on July 19 if the market price is $9,813.45?(c) Calculate the market value of each $10,000.00 T-bill on September 24 if the rate of return on that date is 2.75%.(d) What is the rate of return realized if a $10,000.00 T-bill purchased on April 1 is sold on December 16 at a market rate of 2.796%1(a) The price is $(Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)

The objective of the question is to calculate the price, yield rate, market value and rate of return…

Answered: On April 1, $10,000.00 364-day treasury…

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter8: Analysis Of Risk And Return

Section: Chapter Questions

Problem 9P

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