What is the corresponding investment yield

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On September 6, 2016 the U.S. Treasury auctioned $36 billion face value 26-week (182-day) Treasury bills. The U.S. Treasury received non-competitive bids totaling $530 million. Suppose that the U.S. Treasury received the following competitive bids:

$5 billion at 0.475%

$6 billion at 0.470%

$7 billion at 0.465%

$6.5 billion at 0.460%

$6 billion at 0.455%

$5 billion at 0.450%

$5 billion at 0.445%

What is the corresponding price (as a percent of face value – round to 6 decimal places)? What is the corresponding investment yield? What price is paid by the non-competitive bidders?

Reference no: EM131313040

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