You want to buy a T-bill that will pay $1,000,000 when it matures in 190 days.

a) If you want a discount yield of 7.5% on the T-bill, what should be the purchase price? Show all excel calculations.

b) What is the bond equivalent yield for the above T-bill? Report the bond equivalent yield to three decimals (for example 1.234%). Show all excel calculations.