Accrued interest is | |||||||
AI | 15*60/180 | ||||||
AI | 5 | ||||||
So the purchaser of the bond would pay the ask price plus the accrued interest | |||||||
So correct answer is D) The ask price plus $5 | |||||||
Evin is considering buying a bond with a $1,000 par value that has 16 semi-annual coupon...
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