Question:Jane purchased a 180-day T-bill with a face value of $75,000
on the date of issue...
Question
Jane purchased a 180-day T-bill with a face value of $75,000
on the date of issue...
Jane purchased a 180-day T-bill with a face value of $75,000
on the date of issue when the market return was 3.5%. Jane then
sold the T-bill 30 days later when the market rate was 3.0%.
a) What price did Jane pay for the T-bill?
b) What was the profit or loss that Jane realized from the
sale of the T-bill 100 days later?