Asked by
sujan timsina
on Dec 09, 2024
Verified
A corporate bond is quoted at a current price of 103.68. What is the market price if the face value is $5,000?
A) $4,785.00
B) $4,822.53
C) $5,103.68
D) $5,184.00
E) $5,210.68
Current Price
The latest market price at which an asset or service is traded.
- Understand essential bond terminology, such as face value, market price, coupon rate, and yield to maturity.
- Compute the financial valuation of bonds amid fluctuating market conditions, notably interest rate changes and the remaining duration to maturity.
Verified Answer
PS
Learning Objectives
- Understand essential bond terminology, such as face value, market price, coupon rate, and yield to maturity.
- Compute the financial valuation of bonds amid fluctuating market conditions, notably interest rate changes and the remaining duration to maturity.