Consider a Corporate Bond with a $1000 Face Value,10% Coupon

question 32

Multiple Choice

Consider a corporate bond with a $1000 face value,10% coupon with semiannual coupon payments,5 years until maturity,currently selling for a cash price of $1113.80.The next coupon payment will be made in 63 days and there are 182 days in the current coupon period.The clean price for this bond is closest to:

• A)$1146.50.
• B)$1065.70.
• C)$1113.80.
• D)$1081.10.

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Definitions:

Inventory Turnover

A ratio showing how many times a company's inventory is sold and replaced over a period.

Cost Of Goods Sold

The immediate expenses associated with manufacturing the products a company sells, such as materials and workforce costs.

Inventory

The complete inventory of products and materials that a company keeps for the aim of either selling them or using them in manufacturing.

Tangible Assets

Assets with a physical form such as machinery, buildings, and land that a company owns and uses in its operations.