A Treasury Bill with a Par Value of $100,000 Due

question 1

Multiple Choice

A Treasury bill with a par value of $100,000 due two months from now is selling today for $98,039 with an effective annual yield of

• A) 12.40%.
• B) 12.55%.
• C) 12.62%.
• D) 12.68%.
• E) None of the options are correct.

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Definitions:

Tax-Supported School Systems

Public education systems funded primarily through taxation, providing free or subsidized schooling to children in the community.

Liberia

A country in West Africa known for being founded by freed American and Caribbean slaves in the 19th century.

Slavery

The condition in which individuals are owned by others, who control where they live and at what they work.