The following bond was quoted in The Wall Street Journal: Bonds NJ 4.125 % 35 Current yield 4.3% Volume 5 Increased cost Close 87.375% Net change +1.0625% Four bonds were purchased yesterday, and 4 bonds were purchased today. How much more did the 4 bonds cost today? Note: Do not round intermediate calculations. Round your answer to the nearest cent.

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Bond Valuation

Bond valuation are the notes issued by the corporation to raise long-term funds for the business. The corporations are required to pay the interest on such liabilities at a specified rate of interest (termed as coupon rate) at specified dates which may be on semi-annual or annual basis. These interest payments may be in the form of coupons.