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Suppose you sell a $1000 bond at a price of 92.142 and incur brokerage fees of...

Suppose you sell a $1000 bond at a price of 92.142 and incur brokerage fees of $85. Caluculate your net proceeds.
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Answer #1

Calculation of Net proceeds

Face value = $ 1,000

Issue Price = $ 921.42

Brokerage fees = $ 85

Net proceeds = Issue Price - Brokerage fees

                           =$ 921.42- $ 85

                            =$ 836.42

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