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An investor purchased a 364-day, $200,000 T-bill 120 days before the maturity for $198,900. Answer the following questions, and choose the closest answer from the
An investor purchased a 364-day, $200,000 T-bill 120 days before the maturity for $198,900. Answer the following questions, and choose the closest answer from the possible choices following each question:
1.What was the maturity value of the T-bill?
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2 What was the original price of the T-bill on its issue date if the T-bill was discounted at a rate of 1.35% p.a.?
3. What was the annual interest rate or yield of the T-bill purchased 120 days before maturity at $198,900? (Express in percentage with four decimal places i.e., .0001%)
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