Asked by Michael Hernandez on Apr 26, 2024
Verified
Provide an appropriate definition of clean price.
Clean Price
The price of a bond excluding any accrued interest; the price the bond is actually quoted at in the financial markets.
- Elucidate the meaning and importance of bond pricing concepts such as nominal value, clean price, and dirty price.
Verified Answer
HM
Hussein MasriApr 27, 2024
Final Answer :
The price of a bond net of accrued interest; this is the price that is typically quoted.
Learning Objectives
- Elucidate the meaning and importance of bond pricing concepts such as nominal value, clean price, and dirty price.