TBill Formulas

• P = Face [ 1 - rBD * (n/360)]

• rBD = (F-P)/F * 360/n (bank discount yield)

• rBEY = (F-P)/P * 365/n = (365* rBD )/(360 - t* rBD )

• rBEY = bond (coupon) equivalent yield or APR

• effective annual yield = [1 + (F-P)/P ] 365/n - 1

  • = (F/P) 365/n - 1

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