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A $5000 Bond Pays Semi-Annual Coupons of $150 Every April

Question 56

Multiple Choice

A $5000 bond pays semi-annual coupons of $150 every April 30th and October 30th.The redemption value is $5075.It is purchased on July 5,2010 at a market (clean) price $5125.What is the full (or dirty) price?


A) $5054.10
B) $5070.90
C) $5129.10
D) $5179.10

Correct Answer:

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