#2

2. A six-month (i.e., 182 days) Treasury bill with a face value of $100,000 was just issued at a price of $98,700. Based on this information, calculate the dollar discount, MMY, and BEY. Also, determine the discount rate at which the T-bill was offered. 3. A money market security that matures in 91 days has a MMY of 3.5 percent. What is the security's BEY? 4. A nontaxable security has a yield of 2.5 percent. At a marginal tax rate of 35 percent, what is the TEY