If a treasury note has a bid price of $996.25,the quoted bid price in the Wall Street Journal would be _________.
A) 99:25
B) 99:63
C) 99:20
D) 99:08

Question

Quizplus · Accepted Answer

The bid price is quoted as a percentage of the face value, which is $1000 for a treasury note. To calculate the bid price, divide $996.25 by $1000, which gives 0.99625. Then multiply by 100 to get the percentage, which is 99.625%. The bid price is rounded to the nearest 1/32 of a point, which is 0.3125%. Therefore, the bid price would be quoted as 99:20 in the Wall Street Journal.

If a Treasury Note Has a Bid Price of $996