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Mrs smith owns a 5 bond this means that she receives 50 per

Interest payments and bond prices are stated as percentages of par

1% or 1 point for a bond = $10.00
An 1/8 of a point for a bond = $1.25

Mrs. Smith owns a 5% bond; this means that she receives $50 per year in interest. She paid a price of 118 ½ for the bond. How much is this in dollars?

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Business Management: Mrs smith owns a 5 bond this means that she receives 50 per

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Now Priced at $10 (50% Discount)

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Business Management: Mrs smith owns a 5 bond this means that she receives 50 per

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