All of the following are necessary to calculate the total purchase price for a municipal bond traded on a yield basis in the sec

Question

tigry1 [53]

2 years ago

6

All of the following are necessary to calculate the total purchase price for a municipal bond traded on a yield basis in the sec

ondary market EXCEPT:
A. bank dealers
B. general securities dealer
C. issuers
D. municipal broker's brokers

Business

1 answer:

ahrayia [7] · Answer 1 · 2022-09-07T04:42:16+03:00

Answer: The response options are wrong, those that correspond according to what I found on the internet are:

All of the following are necessary to calculate the total purchase price for a Municipal bond traded on a yield basis in the secondary market EXCEPT:

A. Coupon rate

B. Yield to Maturity

C. Dated date

D. Trade date

<u>The correct answer is "C. Dated date".</u>

<u>Option "C" is correct because to calculate the price of a bond it is not necessary the day of issuance of the bond, is enough with its YIELD TO MATURITY, RATE CUPON AND YEARS TO MATURITY.</u>