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I only need help with question 2 please. Styles The Treasury wants to auction $5 billion 180-day T-bills. The following bids are received: Bidder Bid
I only need help with question 2 please.
Styles The Treasury wants to auction $5 billion 180-day T-bills. The following bids are received: Bidder Bid Amount Bid Price $1.5 billion $0.983 $1 billion $0.979 $1.2 billion $0.991 $1.6 billion $0.984 $1.2 billion $0.987 Total $6.5 billion um WNPS Onion The Treasury also receives $500 million in noncompetitive bids. 1. Calculate the discount yield for each bid price above. Assume a face value of $1.00 O 0.034 or 3.4% (1.5 billion) 0.042 or 4.2% (1 billion) 0.018 or 1.8% (1.2 billion) 0.032 or 3.2% (1.6 billion) 0.026 or 2.6% (1.2 billion) 2. Which bidders will receive T-bills, how much will each receive, and what price is paidStep by Step Solution
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