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You Purchase a 10 3/8s February $10,000 Par Treasury Note

Question 5

Multiple Choice

You purchase a 10 3/8s February $10,000 par Treasury note at 103:11 and hold it for exactly one year at which time you sell it. What is your rate of return if your selling price is 101:13?


A) 8.14 percent
B) 8.16 percent
C) 8.22 percent
D) 8.32 percent
E) 8.47 percent

Correct Answer:

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