Asked by Avelina Milam on May 20, 2024
Verified
Provide an appropriate definition of dirty price.
Dirty Price
The price of a bond that includes accrued interest in addition to the bond's face value.
- Expound on the importance and definitions of terms in bond pricing like face value, clean price, and accrued price.
Verified Answer
EM
Emmanuel MesiaMay 20, 2024
Final Answer :
The price of a bond including accrued interest, also known as the full or invoice price. This is the price the buyer actually pays.
Learning Objectives
- Expound on the importance and definitions of terms in bond pricing like face value, clean price, and accrued price.