The conversion factor on a deliverable bond is 1.03 and the bond price is 100.50.The observed futures price is 97.5 and the YTM is 5.8%.What is invoice less market price on the security?
A) +0.08
B) -0.08
C) -0.02
D) +0.02

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The Answer of The conversion factor on a deliverable bond is 1.03 and the bond price is 100.50.The observed futures price is 97.5 and the YTM is 5.8%.What is invoice less market price on the security?
A) +0.08
B) -0.08
C) -0.02
D) +0.02

The Conversion Factor on a Deliverable Bond Is 1