A bond matures in 2020 and has an annual coupon of 3.65 percent, payable on January 1 and July 1. The current price of the $1,000 bond is $978. On February 1, you purchase $10,000 face amount, and your broker charges a $25 commission. How much must you remit for the purchase?

Answer rating: 100% (QA)

First lets calculate the semiannual coupon payment for the bond Semiannual coupon paymen... View the full answer