An investor buys a $10,000 face value T-bill at a bank discount quote of 5.76% with 175 days to maturity. The investor's actual annual rate of return on this investment is _____. Group of answer choices 4.80% 4.97% 6.01% 6.64%
An investor buys a $10,000 face value T-bill at a bank discount quote of 5.76% with 175 days to maturity. The investor's actual annual rate of return on this investment is _____. Group of answer choices 4.80% 4.97% 6.01% 6.64%
Chapter2: The Domestic And International Financial Marketplace
Section: Chapter Questions
Problem 4P
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Question
An investor buys a $10,000 face value T-bill at a bank discount quote of 5.76% with 175 days to maturity. The investor's actual annual rate of return on this investment is _____.
Group of answer choices
4.80%
4.97%
6.01%
6.64%
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