Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
![The question presented is:
"The price you pay for a bond with a face value of $5000 selling at 103 points is"
Options:
- a. $5,300
- b. $5,150
- c. $5,103
- d. $5,304
To find the correct answer, calculate the bond price by multiplying the face value by the selling price percentage:
\[ \text{Price} = \frac{103}{100} \times 5000 = 5150 \]
Therefore, the correct answer is:
- b. $5,150](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fa1e1d114-cba9-4c4f-a9ab-1a346fb28105%2F5a9ec0bf-b661-4a4b-8c43-874663d0b8bf%2Fbwpjrjb_processed.jpeg&w=3840&q=75)
Transcribed Image Text:The question presented is:
"The price you pay for a bond with a face value of $5000 selling at 103 points is"
Options:
- a. $5,300
- b. $5,150
- c. $5,103
- d. $5,304
To find the correct answer, calculate the bond price by multiplying the face value by the selling price percentage:
\[ \text{Price} = \frac{103}{100} \times 5000 = 5150 \]
Therefore, the correct answer is:
- b. $5,150
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