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24 October, 05:02

What is the price at which a dealer will sell a bond?

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  1. 24 October, 05:17
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    Asked Price

    Explanation:

    The dealer will purchase bonds and then sale them for a little margin which is called spread. that is, the difference at which is willing to purchase and the amount is willing to sale.

    Other bond prices:

    Market value: value of the bond in the open market

    Call value: value at which the issuer can purchase the bonds

    Dirty price: when the price of the bonds includes accrued interest for the period

    Clean Price: when the accrued interest are removed to determinate the price of the bond.
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