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It is March 1 and a corporate treasurer learns that he will receive $2 million on May 1 that will be needed for a major

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It is March 1 and a corporate treasurer learns that he will receive $2 million on May 1 that will be needed for a major capital investment. He plans to issue 6-month maturity commercial paper when he receives that money. Concerned about the prospect of rising interest rates he decides to hedge using a June T-Bill futures contract whose IMM futures price is 90.89 (i.e. FIMM = 90.89). What is the cash invoice price, (Fc), of this T-Bill futures contract? O $977,225 O $908,900 O $97,775 O none of these other answers are correct

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