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A T-bond with a $1,000 par is quoted at a bid of 105:7 and an ask...

A T-bond with a $1,000 par is quoted at a bid of 105:7 and an ask of 105:9. How much will you receive if you sell the bond?

please show in excel

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Answer #1

Solution :-

T - Bonds are quoted with Denominator 32

Therefore 105 : 7 means = 105 + ( 7 / 32 )

Therefore Bid Rate =

If there is any doubt please ask in comments

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