How much would you have to pay to buy one bond delivered


Question: Amount issued $ 600 million Offered Issued at a price of 99.592% plus accrued interest (proceeds to company 98.717%) through Citi and JPMorgan Interest 5.85% per annum payable June 15 and December 15. Maturity June 15, 2041 Denomination, face value, or principal $ 1,000 a. The AMAT bond was issued on June 8, 2011, at 99.592%. How much would you have to pay to buy one bond delivered on June 15? Don't forget to include accrued interest. Assume a 365-day year.

 

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Accounting Basics: How much would you have to pay to buy one bond delivered
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