Consider a 13 week Treasury bill, issued today, which is selling for $9,675 (Its face value is $10,000 ) a What is the annual discount based on the selling price of the security b What is the annual equivalent yield of the security ...

a For the thirteenweek period the discount expressed as a ...

Consider a 13-week Treasury bill, issued today, which is selling for $9,675. (Its face value is $10,000.)

Question:

Consider a 13-week Treasury bill, issued today, which is selling for $9,675. (Its is $10,000.)
a. What is the annual discount based on the selling price of the security?
b. What is the annual equivalent yield of the security?
Face Value
Face value is a financial term used to describe the nominal or dollar value of a security, as stated by its issuer. For stocks, the face value is the original cost of the stock, as listed on the certificate. For bonds, it is the amount paid to the...