Today is 1 July 2020. Joan has a portfolio which consists of two different types of financial instruments (henceforth referred to as instrument A and instrument B). Joan purchased all instruments on 1 July 2013 to create this portfolio and this portfolio is composed of 21 units of instrument A and 35 units of instrument B.

• Instrument A is a zero-coupon bond with a face value of 100. This bond matures at par. The maturity date is 1 January 2030.
• Instrument B is a Treasury bond with a coupon rate of j₂ = 3.62% p.a. and face value of 100. This bond matures at par. The maturity date is 1 January 2023.
• (b) Calculate the current price of instrument B per $100 face value. Round your answer to four decimal places. Assume the yield rate is j₂ = 4.04% p.a. and Joan has just received the coupon payment.

Select one:

a. 96.7136

b. 100.8207

c. 98.8245

d. 99.0107