Question

Priya has Rs.300,000 which she wants to invest in bonds having nominal value of Rs.100 and dirty price of Rs.104.5%. With her money, how many bonds can Priya buy?

A 2870 Correct Answer Incorrect Answer
B 3000 Correct Answer Incorrect Answer
C 3135 Correct Answer Incorrect Answer
D 2500 Correct Answer Incorrect Answer
E Cannot be calculated Correct Answer Incorrect Answer

Solution

Number of bonds = Funds / (Nominal value of the bond x Dirty price)  = 300,000/ (100 x 104.5%) = 2870 

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