Explanation

For a U.S. Treasury bill quoted at a discount rate of 5.20%, the cash price is calculated as:

$\text{Cash Price} = \text{Face Value} \times \left(1 - \frac{\text{Discount Rate} \times \text{Days}}{360}\right)$

Given:

• Face Value = $1,000,000
• Discount Rate = 5.20% = 0.052
• Days = 182

$\text{Cash Price} = 1,000,000 \times \left(1 - \frac{0.052 \times 182}{360}\right)$ $= 1,000,000 \times \left(1 - \frac{9.464}{360}\right)$ $= 1,000,000 \times \left(1 - 0.0262889\right)$ $= 1,000,000 \times 0.9737111$ = \`$973`,711

Therefore, the correct cash price is $973,711.