What is the nominal interest rate on a one-year treasury bill with a face value of $1 million if its purchase price is $980 000? If the Bank of Canada wishes to move the nominal interest rate on one-year treasury bills to 3 percent, should it increase or decrease the supply of these bills it sells in its auction?
What is the nominal interest rate on a one-year treasury bill with a face value of $1 million if its purchase price is $980 000? If the Bank of Canada wishes to move the nominal interest rate on one-year treasury bills to 3 percent, should it increase or decrease the supply of these bills it sells in its auction?
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
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2. a. What is the nominal interest rate on a one-year treasury bill with a face
value of $1 million if its purchase price is $980 000?
b. If the Bank of Canada wishes to move the nominal interest rate on
one-year treasury bills to 3 percent, should it increase or decrease i
the supply of these bills it sells in its auction?
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