Henry is planning to purchase a Treasury bond with a coupon rate of 2.05% and face value of $100. The maturity date of the bond is 15 March 2033.

(a)If Henry purchased this bond on 3 March 2020,what is his purchase price (roundedto four decimal places)? Assume a yield rate of 3.16% p.a. compounded half-yearly.

a.88.1503

b.89.1727

c.89.54

d.89.1742

(b)If Henry purchased this bond on 3 March 2020,what is his purchase price (roundedto four decimal places)? Assume a yield rate of 3.16% p.a. compounded half-yearly. Henry needs to pay 28.4% on coupon payment as tax payment and tax are paid immediately.

a.83.2847

b.82.7224

c.81.9893

d.82.7209

(c)If Henry purchased this bond on 3 March 2020,what is his purchase price (roundedto four decimal places)? Assume a yield rate of 3.16% p.a. compounded half-yearly. Henry needs to pay 28.4% on coupon payment and capital gain as tax payment. Assume that all tax payments are paid immediately.

a.63.8488

b.78.7029

c.89.1377

d.77.7992

(d)If Henry purchased this bond on 3 March 2020,what is his purchase price (roundedto four decimal places)? Assume a yield rate of 3.16% p.a. compounded half-yearly. Henry needs to pay 28.4% on coupon payment and capital gain as tax payment. Assume that all tax payments are delayed by half year.

a.78.9029

b.77.9969

c.89.1385

d.64.2427