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.
What is its coupon rate?
Note: En

Question

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8
.
5
 ﻿maturing in February 
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0
3
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.
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 ﻿What is its coupon rate?
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.
b
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 ﻿What is its bid price in dollars?
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 ﻿What was the previous day's asked price in dollars?
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VIPSolutions · Accepted Answer

Let's locate the Treasury bond maturing in **February 2038** in the table and answer the questions:

**Step 1: Find the row for February 2038.**  
Look for "2/15/2038" in the "Maturity" column.

---
### a. What is its coupon rate?

For **2/15/2038**, the *Coupon* column shows:
- **4.375**

**Coupon Rate:**  
$\boxed{4.375\%}$

---

### b. What is its bid price in dollars?

For **2/15/2038**, the *Bid* column shows:
- **153.094**

Treasury bond prices are quoted as a percentage of par (\$10,000).  
So the bid price in dollars = 153.094% of \$10,000 =  
$$
\text{Bid price} = \frac{153.094}{100} \times 10,000 = \$15,309.40
$$

**Bid Price:**  
$\boxed{15,309.40}$

---

### c. What was the previous day's asked price in dollars?

For **2/15/2038**, the *Asked* column shows:
- **153.204**

Asked price in dollars = 153.204% of \$10,000 =  
$$
\text{Asked price} = \frac{153.204}{100} \times 10,000 = \$15,320.40
$$

**Previous Day's Asked Price:**  
$\boxed{15,320.40}$

---

## **Summary Table**

|        | Value           |
|--------|-----------------|
| a. Coupon rate          | **4.375** %  |
| b. Bid price            | **15,309.40** |
| c. Previous day's asked price | **15,320.40** |

Let me know if you have more questions!

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