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A ten year 100 par US Treasury bond has 7% semi-annual coupons. The bond has anominal yield to maturity of 6% convertible semi-annually. The bond
A ten year 100 par US Treasury bond has 7% semi-annual coupons. The bond has anominal yield to maturity of 6% convertible semi-annually. The bond was issued on1/15/2016 and sold on 3/21/2018. (please do not use excel)
(a) Compute the purchase price on the date 3/21/2018 when the bond is sold.
(b) Compute the market price on 3/21/2018 and the amount of accrued interest.
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