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.