Finance · Financial Markets
When bonds are dealt in 'and interest' rather than 'flat', what does the buyer pay to the seller?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1The principal amount plus a fixed premium determined by the stock exchange
- 2The market price only, with accrued interest completely waived
- 3The face value minus any depreciation in market conditions
- 4The market price plus interest accrued since the last payment date✓
Correct answer
The market price plus interest accrued since the last payment date
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