How did they come up with this do not copy the other chegg

Reference no: EM13616909

A six-month $10,000 Treasury bill is selling for $9,844. What is the annual yield according to the discount method? Does this yield understate or overstate the true annual yield? Explain.

The answer in the back of the book is:

3.12% discount yield
3.19% annualized yield

How did they come up with this? Do not copy the other chegg answer, parts of it were wrong and make it so I can easily copy and paste the content!

Reference no: EM13616909

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