Problem:
You are buying a bond at a clean price of $1,180. The bond has a face value of $1,000, a 9 percent coupon, and pays interest semiannually. The next coupon payment is 4 months from now.
Required:
Question: What is the dirty price of this bond?
A) 1165.00
B) 1195.00
C) 1202.00
D) 1000.00
E) 1210.00
Note: Please explain comprehensively and give step by step solution.