You Are An Investor Interested In Government S Securities In General And T Bills In 2903201

You are an investor interested in government’s securities in general and T-bills in particular. You are interested in a $10,000 T-bill that has 200 days to maturity and a 360-day asked discount rate of 0.150%. If you placed an order for 1000 T-bills, what will be your total dollar return when those T-Bills expire? Discount % on 200 days=0.0833% Purchase price of T bill =10000*(100-0.0833)/100=9991.667 Total purchase price of 1000 T bills=9991666.67$ Redemptiom value=1000*10000=10000000 Net gain =10000000-9991666.67=$8333.33

Prof. Angela

4.6/5

Calculate Price


Price (USD)
$
Open chat