Information regarding Bond Z, sold for settlement on August 22, 2014.
Annual Coupon 5%
Coupon Payment Frequency Semiannual I
Interest Payment Dates 14 March and 14 September
Maturity Date 14 September 2016
Day-count Convention 30/360
Annual Yield-to-Maturity 4%
1. For Bond Z listed in Table 8.0 what is the accrued interest per 100 of par value on the settlement date of 22 Aug 2014 is:
a) 2.21
b) 1.50
c) 4.42
d) none of the above.
2. What is the full price, at settlement, of Bond Z in Table 8.0?
a) 101.90
b) 103.70
c) 104.11
d) none of the above.