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Cybernaut Industries is buying back bonds which have an annual coupon payment of $300. The coupon was paid just 92 days earlier. How much accrued interest from the coupon payment will Cybernaut have to pay on each bond?

Answer :

sqdancefan

Answer:

  $75.62

Step-by-step explanation:

Assuming exact interest is computed on each bond, interest will have accrued for 92 of 365 days between payments. The interest due on each bond is ...

  (92/365)($300) ≈ $75.62

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