Which one of the following statements is true regarding the accrued interest O A. When...

70.2K

Verified Solution

Question

Accounting

image

Which one of the following statements is true regarding the accrued interest O A. When a bond is trading ex-coupon, the calculation of accrued interest days is based on the number of days from the last coupon date to the settlement date O B. When the bond is trading cum-coupon, the calculation of accrued interest is based on the number of days from the settlement date to the next coupon date. C. The key assumption behind the calculation of accrued interest is that interest accrues evenly during the coupon period. O D. When a bond is trading cum-coupon, the calculation of accrued interest days is based on the number of days from the last coupon last coupon date to the trade/transaction date

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students