Question
Suppose that you purchase a bond with a quoted price of $1,032.00 on January 15.The bond has a coupon rate of 5.820% and pays interest
Suppose that you purchase a bond with a quoted price of $1,032.00 on January 15.The bond has a coupon rate of 5.820% and pays interest on May 15 and November 15 of each year. The exact number of days between November 15 and January 15 is 61, and the exact number of days between November 15 and May 15 is 181.
What is the invoice price of the bond?
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Foundations of Finance The Logic and Practice of Financial Management
Authors: Arthur J. Keown, John D. Martin, J. William Petty
8th edition
132994879, 978-0132994873
