Question

Suppose a bond's clean price is $1,050, and the bond currently has accrued interest of $30. What is the dirty price?

Multiple choice question.

$1,080


$1,030


$1,050


$1,020

Answers

GPT-4o mini
The dirty price of a bond is calculated by adding the clean price and the accrued interest.

Given:
- Clean Price = $1,050
- Accrued Interest = $30

So, the dirty price can be calculated as follows:

\[
\text{Dirty Price} = \text{Clean Price} + \text{Accrued Interest}
\]

\[
\text{Dirty Price} = 1,050 + 30 = 1,080
\]

Therefore, the dirty price is **$1,080**.