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Suppose that today's date is April 15. A bond with a 10% coupon paid semiannually every Jan 15 and Jul 15 is listed in The
Suppose that today's date is April 15. A bond with a 10% coupon paid semiannually every Jan 15 and Jul 15 is listed in The Wall Street Journal as selling at an ask price of 101.125 ( quoted as 101.125 at Wall Street Journal). If you buy the bond from a dealer today, What price will you pay for it? (The face value of bond is $1,000.) (This bond use 30/360 day count convention.)
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