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Business, 05.03.2021 17:40 naz731

You initiated a transaction to purchase a 2.875% coupon 10-year U. S. Treasury Note on Wednesday 9/6/2018. The maturity date of the note is 5/15/2026 and its yield to maturity is 2.950%. Please answer the following questions about this note. (Note: you can check your work in parts (f), (g) and (h) using the BOND spreadsheet in your calculator, but I want to see the equations setup and worked through in those parts for full credit.)(a) What are the two dates every year on which the note pays its coupons.(b) On what date was the last (previous) coupon paid?(c) What is the settlement date (SDT) for this note?(d) How many days are there in the current coupon period?(e) How many days between the last coupon and the SDT?(f) What is the full price of the note on the SDT? Draw a timeline for just the current coupon period (like we did in class) and calculate the bond’s full price using "Method 2" in the handout, which is the method used in the text and slides). (g) What is the accrued interest on the SDT?(h) What is the clean price of the note on the SDT?

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