1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Darina [25.2K]
3 years ago
8

U.S. Treasury bills are available for purchase this week at the following prices (based upon $100 par value) and with the indica

ted maturity: $97.75, 182 days. (1) Calculate the bank discount rate (DR) on this bill if it is held to maturity. (2) What is the equivalent yield to maturity (sometimes called the bond-equivalent or coupon equivalent yield) on this Treasury bill
Business
1 answer:
Viktor [21]3 years ago
4 0

Answer and Explanation:

The computation is shown below:

Given that,

Price = $97.75

Time = 182 days

Face value = $100

Based on the above information  

1) bank discount rate is  

= (Face value - price) ÷ Face value × 365 / Time

= ($100 - $97.75) ÷ 100 × (365 / 182)

= 0.0225 × 2.005494

= 0.0451 (or) 4.51%

2) equivalent yield to maturity

= (Face value ÷ price)^365 ÷ Time - 1

= ($100 ÷ $97.75)^365 ÷ 182 -1

= 0.04669 (or) 4.66%

You might be interested in
A bachelors degree in which of the following areas is a good choice for an arts an communication manager?
Alenkasestr [34]
Answer: A) Business.

I hope this helped :)
5 0
3 years ago
A change in the price of a good has two effects on the quantity consumed. What are these​ effects?
ipn [44]

Answer:

The answer is B

Explanation: This because when we consume something it goes while if we do not the price goes down.

8 0
3 years ago
Jose, a bank officer, takes the time to fully explain to an applicant why he is being turned down for a loan and does his best t
sineoko [7]

Answer:

Interactional Justice

Explanation:

Interactional Justice is an organizational behavior that deals with how respectfully and dignified people affected by a decision are treated.

As a management or leadership, interactional justice is important as it shows how well managers/leaders can execute their decisions and use their authority with employees/subordinates while being fair, polite and open to them.

Interactional Justice can simply be said to be the fairness and openness with which decisions are made known to the affected individuals.

Cheers.

4 0
3 years ago
Read 2 more answers
A house is appraised for $25,000, and shows an assessed value of $20,000. The taxes on the house are $300 annually. What would t
pashok25 [27]

Answer:

$600

Explanation:

In this situation, first we have to know that tax levy on assessed value.

<u>Computation of tax rate:</u>

Appraised Value = $25,000

Assessed value = $20,000

Tax = $300

Tax rate = ($300 / $20,000) x 100 = 1.5%

Assume Appraised Value = $45,000

Assume Assessed value = $40,000

Calculation of tax value = Assessed value x tax rate

= $40,000 x 1.5%

= $600

5 0
3 years ago
Lance lopes went to his bank to find out how long it will take for $1,500 to amount to $2,700 at 15% simple interest. can you so
denis23 [38]
To find simple interest: 

Time = Interest/(Principle)(Rate)

Interest is the amount of interest paid
Principle is the amount you lent or borrow
Rate is the percentage of principle charged as interest each year
Time is the years of the loan

P=Principle amount of $1,500
I=Interest amount of $1,200 (Take the new amount of $2,700 and subtract from the principle that is $1,500 which gives you $1,200)
r= as a decimal .15 (15%/100)
t=unknown

T=I/PR

T=1,200/(1,500)(.15)
T=1,200/225
T=5.3 years 

It would take Lance roughly 5.3 years
3 0
3 years ago
Other questions:
  • During May, 2018, Sugar Inc. performs consulting services. The client does not pay Sugar until June, 2018. Multiple Choice Using
    9·1 answer
  • In 2018, DFS Medical Supply collected rent revenue for 2019 tenant occupancy. For income tax reporting, the rent is taxed when c
    5·1 answer
  • Paying attention to trends that might impact your future career is called
    15·2 answers
  • What type of fiscal policy calls for a decrease in government spending and an increase in taxes?
    14·1 answer
  • Suppose the market price is $5. The buyer who buys the first unit of output has a willingness-to-buy equal to $10; the buyer who
    7·1 answer
  • The Administrator of the state of Wisconsin has designated the Investment Adviser Registration Depository (IARD) as the approved
    9·1 answer
  • Imagine for a moment that you're in charge of marketing smartphones to the rapidly growing market segment of very old consumers.
    9·1 answer
  • What does a future value measure
    11·1 answer
  • Novak Corp. has had 4 years of net income. Due to this success, the market price of its 300,000 shares of $5 par value common st
    12·1 answer
  • An enhancing qualitative characteristic of accounting information that allows users to better understand similarities and differ
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!