Pregunta
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XYZ Corporation invests into 91-day treasury bills with an interest rate of . If the broker charges a commission, what is the yield?
yield = [?]%
Give your answer as a percent rounded to the nearest hundredth

Ask by Hamilton Lang. in the United States
Mar 13,2025

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El rendimiento es de aproximadamente el 2.44%.

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Extra Insights

To calculate the yield, we first need to find out the total amount earned from the investment and then subtract the commission to figure out the net earnings.
  1. Calculate the interest earned:
  2. Calculate the total value after 91 days including interest:
  3. Subtract the broker’s commission:
  4. Now, let’s calculate the yield using the formula provided:
  5. Converting to percentage:
  6. Rounding to the nearest hundredth:
Therefore, the yield is approximately .

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