Question
What is the price of a U.S. Treasury bond that is listed at 90 if the par value is $1,000?
Multiple choice question.
$90
$900
$1,000
$1,090
Multiple choice question.
$90
$900
$1,000
$1,090
Answers
GPT-4o mini
If a U.S. Treasury bond is listed at 90, this means it is being sold at 90% of its par value.
To find the price of the bond, you can use the following calculation:
\[
\text{Price} = \text{Par Value} \times \left(\frac{\text{Listed Price}}{100}\right)
\]
Plugging in the values:
\[
\text{Price} = 1000 \times \left(\frac{90}{100}\right) = 1000 \times 0.90 = 900
\]
Therefore, the price of the U.S. Treasury bond is **$900**.
The correct answer is **$900**.
To find the price of the bond, you can use the following calculation:
\[
\text{Price} = \text{Par Value} \times \left(\frac{\text{Listed Price}}{100}\right)
\]
Plugging in the values:
\[
\text{Price} = 1000 \times \left(\frac{90}{100}\right) = 1000 \times 0.90 = 900
\]
Therefore, the price of the U.S. Treasury bond is **$900**.
The correct answer is **$900**.