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An investor purchased a 364-day, $100,000.00 T-bill on its issue date for $98,489.06. After holding it for 266 days, she sold the T-bill for a
An investor purchased a 364-day, $100,000.00 T-bill on its issue date for $98,489.06. After holding it for 266 days, she sold the T-bill for a yield of 1.52%.
(a) What was the original yield of the T-bill?
(b) For what price was the T-bill sold?
(c) What rate of return (per annum) did the investor realize while holding this T-bill?
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