Dashboard
Review Topics
Drills
Practice Exams
Flashcards
Vocabulary
Cows are like buffalo...EXCEPT they're NOT as huge, athletic, and ridiculously good-looking. Confused? Pay attention to key words if you want the real deal.

How Bonds Are Quoted

How Bonds Are Quoted

He said, she said.

Bonds are typically issued in $1,000 base units: that $1,000 is their par, or face value. But they are quoted in units of 100. That is, a bond unit selling for $1,025 would be quoted as 102.5, or one-oh-two and a half. To get really technical, bonds are usually quotes as a spread—that is, 102.5 x 103—which means that if you are a buyer of the bond, you pay 103 cents on the dollar. If you are a seller of the bond, you'd get 102.5 cents on the dollar. The spread is $1,...

Looking for more? Why is this annoying box in the way? It's because you haven't paid for the course yet!

$65.65
Next: Bond Maturities  
  Prev: The Indenture

*Securities is a registered trademark of the College Board, which was not involved in the production of, and does not endorse this product.