An investor buys a 9% annual-pay bond maturing July 15, 2020 on September 6, 2013, (51 days after the coupon date using a 30/360 day-count convention). The bond's yield to maturity is 8%. How much (as a percentage of par) will the investor actually pay for the bond? O 106.360 O 104.623 195.206

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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An investor buys a 9% annual-pay bond maturing July 15, 2020 on September 6, 2013, (51 days
after the coupon date using a 30/360 day-count convention). The bond's yield to maturity is 8%.
How much (as a percentage of par) will the investor actually pay for the bond?
106.360
O 104.623
105.206
Transcribed Image Text:An investor buys a 9% annual-pay bond maturing July 15, 2020 on September 6, 2013, (51 days after the coupon date using a 30/360 day-count convention). The bond's yield to maturity is 8%. How much (as a percentage of par) will the investor actually pay for the bond? 106.360 O 104.623 105.206
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