$\begin{array}{rrr}
\text { Bidder } & \text { Price Bid } & \text { Quantity Bid (billion) } \
\text { A } & \$ 9,380 & \$ 19 \
\text { B } & \$ 9,410 & \$ 15 \
\text { C } & \$ 9,440 & \$ 13 \
\text { D } & \$ 9,460 & \$ 10 \
\text { E } & \$ 9,490 & \$ 9 \
\text { F } & \$ 9,510 & \$ 6
\end{array}$
-The Bank of Canada is offering Treasury bills with a par value of $15 billion for sale. They have received $6 billion of non-competitive bids. The competitive bids for a $10,000 par value bonds are: A offers $9,600 for $3 billion, B with $9,500 for $5 billion, C bids $9,450 for $7 billion and D pays $9,400 for $6 billion. What price will Bidder A actually pay assuming that bid is accepted?

Question

$\begin{array}{rrr}
\text { Bidder } & \text { Price Bid } & \text { Quantity Bid (billion) } \
\text { A } & \$ 9,380 & \$ 19 \
\text { B } & \$ 9,410 & \$ 15 \
\text { C } & \$ 9,440 & \$ 13 \
\text { D } & \$ 9,460 & \$ 10 \
\text { E } & \$ 9,490 & \$ 9 \
\text { F } & \$ 9,510 & \$ 6
\end{array}$ 
-The Bank of Canada is offering Treasury bills with a par value of $15 billion for sale. They have received $6 billion of non-competitive bids. The competitive bids for a $10,000 par value bonds are: A offers $9,600 for $3 billion, B with $9,500 for $5 billion, C bids $9,450 for $7 billion and D pays $9,400 for $6 billion. What price will Bidder A actually pay assuming that bid is accepted?

Quizplus · Accepted Answer

Bidder A will pay the highest accepted competitive bid price, which is $9,450, as the auction is conducted on a uniform price basis.

-The Bank of Canada Is Offering Treasury Bills with a