Question

QUESTION 1 Bond Quotes Consider the following three bond quotes; a Treasury note quoted at 104:24, and a corporate bond quoted at 97.95, and a municipal bond quoted at 103.95. If the Treasury and corporate bonds have a par value of $1,000 and the municipal bond has a par value of $5,000, what is the price of these three bonds in dollars? (Round your answers to 2 decimal places.) O $1,004.30, $1,000, $1,000, respectively $1,047.50, $979.50, $5,197.50, respectively O $1,000, $1,000 $5,000, respectively $1,004.30. $979.50, $5,019.75 respectively 4.50, respective

Answer 1

Treasury note 104:24 ie 104 ans 24 =104.75 32 price of treasury bond = 1000 x 104.75 100 = $1047.50 price of Corporate bond = 1000 x 97.95 100 = $979.50 price of municipal bond = 5000x 103.95 100 = $ 5197.50 $1047.50, $999.50, $5197.50, respectively