If an Investor Buys a T-Bill with a 90-Day Maturity

question 19

Multiple Choice

If an investor buys a T-bill with a 90-day maturity and $50,000 par value for $48,500 and holds it to maturity, what is the annualized yield?

• A)about 13.4 percent
• B)about 12.5 percent
• C)about 11.3 percent
• D)about 11.6 percent
• E)about 10.7 percent

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Isolated

Being separated from others; in a condition of solitude or remoteness.

Abandoned

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Dying Patient

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Grieving Person

An individual experiencing intense emotional suffering due to the loss of a loved one or significant life changes.