#37 What are the correct yields in relation to the Treasury bill described below? Tenor: 180 days Face value: $185,000 Selling price: $167,250 A. Bank Discount Yield Money market Yield Effective Annual Yield 10.61% 12.36% 12.83% B. Bank Discount Yield Money Market Yield Effective Annual Yield 19.19% 21.52% C. Bank Discount Yield Money Market Yield Effective Annual Yield 15.72% 17.08% 17.69%

    Bank Remittance comply = (F-P)*360/(F*T) ,where F = visage prize , P = selling appraisement , T= purport days

    = (185,000- 167250)*360/(185,000*180) = 19.19%

    Money Market Comply = (360* BDY)/ (360- T*BDY) , where BDY is bank remittance comply

    = (360*0.1919)/ (360- 180*0.1919)

    = 21.52%

    hence non-interference B is the equitable answer