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1. What types of risks should bondholders be aware of and how do these affect bond prices and yields? 2. How much would you pay

1. What types of risks should bondholders be aware of and how do these affect bond prices and yields?

2. How much would you pay for a Treasury bill that matures in 182 days and pays $10,000 if you require a 1.8% discount rate?

3. If the Treasury also received $750 million in non-competitive bids, who will receive T-bills, in what quantity, and at what price?

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