Question

It is May 5, 2017. The quoted price of a government bond with a $12 \%$ coupon that matures on July 27,2034 , is $110-17$. What is the cash price? 

   It is May 5, 2017. The quoted price of a government bond with a $12 \%$ coupon that matures on July 27,2034 , is $110-17$. What is the cash price?
Options, Futures, and Other Derivatives
Options, Futures, and Other Derivatives
John C. Hull 10th Edition
Chapter 6, Problem 9 ↓

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The quoted price of $110-17$ means $110$ and $17/32$ of a percent. This is a common way to quote bond prices, where the number after the dash is in 32nds of a percent.  Show more…

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It is May 5, 2017. The quoted price of a government bond with a $12 \%$ coupon that matures on July 27,2034 , is $110-17$. What is the cash price?
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