Find the equivalent money-market yield
On 01/03/2002, an investor buys $1 million US T-Bill with maturity date 06/27/2002 and discount yield 1.76% on the settlement date.
1. What is the price of the T-Bill?
2. What is the equivalent money-market yield?
Now Priced at $10 (50% Discount)
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On 01/03/2002, an investor buys $1 million US T-Bill with maturity date 06/27/2002 and discount yield 1.76% on the settlement date. What is the equivalent money-market yield?
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