1. Assume that interest rate on a 182-day, $1 million face value T-Bill is currently selling at a discount rate of 3.25%. What will be the price of the T-Bill? What is the return on the T-Bill if the investor purchases at the above price and holds until maturity? $1,000,000*(1-3.25%*182/360)=983569.44, (1000000-983569.44)/983569.44=1.67% (Holding period return)