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Help please!! Question 1 (10 points) Suppose the price of a T-bill with 73 days to maturity and a $1 million dollar face value is
Help please!!
Question 1 (10 points) Suppose the price of a T-bill with 73 days to maturity and a $1 million dollar face value is $981,300. What is the discount yield (also referred to as yield on a discount basis)? Answer in percent terms to 3 decimal places. Do not enter the percent sign. Your Answer: Answer Question 2 (10 points) A zero-coupon Treasury security (that is, a T-bill) has 139 days to maturity and a discount yield of 5.0%. Calculate the nominal yield (we have also called this the bond equivalent yield) for this security. Answer in percent terms to three decimal places. Do not enter the percent sign. You can assume whatever face or par value you want, but a good assumption is $1000. YourStep by Step Solution
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