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Calculate the purchase price (flat) of the $1,000 face value bond using the information given below. (Do not round the intermediate calculations. Round your final
Calculate the purchase price (flat) of the $1,000 face value bond using the information given below. (Do not round the intermediate calculations. Round your final answer to 2 decimal places.) Issue date Jan 1, 2006 Maturity date Jan 1, 2021 Purchase date April 15, 2006 Coupon rate (%) 4.0 Market rate (%) 4.5 Assume that: Bond interest is paid semiannually. . The bond was originally issued at its face value. . Bonds will be redeemed for their face value at maturity Market rates of return and yields to maturity are compounded semiannually Purchase price $
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