In early July 2019, the U.S. Treasury issued three T-Bills, and they had issued a one-year T-Bill

Question:

In early July 2019, the U.S. Treasury issued three T-Bills, and they had issued a one-year T-Bill on June 20, 2019:

a. Calculate the bank discount rate for each security using the formula given in the chapter and using the Disc function.

b. Calculate the bond equivalent yield for each security using the formula given in the chapter and using the YieldDisc function.

c. Find the most recent T-Bill auction results from: https://www.treasurydirect.gov/instit/annceresult/annceresult.htm. You will need to click the CUSIP numbers to get the auction prices. Repeat parts a and b.

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Financial Analysis With Microsoft Excel

ISBN: 9780357442050

9th Edition

Authors: Timothy R. Mayes

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Question Posted: May 15, 2023 03:48 AM

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In early July 2019, the U.S. Treasury issued three T-Bills, and they had issued a one-year T-Bill

Question:

Issue Date Maturity Date Face Value per $100 Price per $100 4-Week 7/9/2019 8/6/2019 100 99.828111 13-Week 26-Week 52-Week 7/5/2019 7/5/2019 6/20/2016 10/3/2019 1/2/2020 6/18/2020 100 100 99.463750 98.796778 100 97.992944

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a To calculate the bank discount rate use the formula Bank Discount Rate Discount Face Value 360 Day...View the full answer

Financial Analysis With Microsoft Excel

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