Question
On April 30, 1990, April purchased a $1,000 10% par- value seven-year bond having semiannual coupons; these were payable at the end of each October
On April 30, 1990, April purchased a $1,000 10% par- value seven-year bond having semiannual coupons; these were payable at the end of each October as well as on the anniversaries of the purchase. April paid $1,1 20. On July 1 8, 1993, she wished to know the dirty and clean values of this bond, figured using the theoretical method and again by the practical method. Calculate them all for her, using the "actual/actual" method for figuring day counts.
**Please show all work and use the formulas clearly
*** The answers are:
Dirty Theoretical = $1,093.95
Clean Theoretical = $1,072.72
Dirty Practical = $1,094.14
Clean Practical = $1,072.68
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