Question: When a bond is sold between coupon payment dates, the buyer pays the seller for the: a . prepaid interest, which is the prorated share
When a bond is sold between
coupon payment dates, the buyer
pays the seller for the:
a prepaid interest, which is the
prorated share of the upcoming
coupon payment.
b accrued interest, which is the
prorated share of the upcoming
coupon payment.
c discount, which is the prorated
share of the upcoming coupon
payment.
d bond discount, which is the
prorated share of the upcoming
coupon payment.
e bond premium, which is the
prorated share of the upcoming
coupon payment.
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