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Question 3 (3.333 points) Treasury Bill Listings Wall Street Journal, April 18, 2017 Days to Maturity Maturity Bid Asked Chg.



What gross proceeds (before any commissions on the trade) would an investor receive if she sold a $10,000 face value T-bill that matures October 12, 2017? 

$9.955.50 

$9,050.00 

$9.961.50 

$5.550.42

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Answer #1

If the investor is selling the treasury bills, he would be selling at bid price of the financial institution and it must be noted that the ask price for a investor would be the bidding price for the bank.

Amount realised= (10,000*.905)= $9050.

So , it can be said that the correct answer would be option ( B) $9050.

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