On October 5, 2019, you purchase a $10,000 T-note that matures on August 15, 2031 (settlement

occurs one day after purchase, so you receive actual ownership of the bond on October 6, 2019).

The coupon rate on the T-note is 4.375 percent and the current price quoted on the bond is

105.25 percent. The last coupon payment occurred on May 15, 2019 (144 days before

settlement), and the next coupon payment will be paid on November 15, 2019 (40 days from

settlement).

a. Calculate the accrued interest due to the seller from the buyer at settlement.

b. Calculate the dirty price of this transaction.