Question
Hannah bought a 180-day Government of Canada treasury bill at a price that would yield a rate of return of 2.8% p.a (PLEASE SHOW WORK)
Hannah bought a 180-day Government of Canada treasury bill at a price that would yield a rate of return of 2.8% p.a (PLEASE SHOW WORK) //URGENT
a) what was the price paid by Hannah if the T-bill has a face value of $100,000
b) 60 days later, Hannah sold the T-bill to Connor who paid an amount that would earn him 3.6% p.a on the price he paid for the T-bill, what was the amount that Connor paid for the T-bill?
c) When Hannah sold the T-Bill to Connor what was the rate of interest that Hannah earned on the original price she paid when she bought the T-BILL?
Thank You!
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