Answer:
Invoice price = $1,204.95
Explanation:
Annual coupon price = $1,000 * 0.6 = $60
Day separating coupon payment = 182 days
Last interest payment made = 30 days
Flat price = Par value * Ask price %
= $1,000 * 120/100
= $1,200
Accrued interest = Annual coupon payment/2 * Day since last coupon payment/Day separating coupon payment
Accrued interest = $60/2 * 30/182
Accrued interest = $4.945
Invoice price = Flat price + Accrued interest
Invoice price = $1,200 + $4.945
Invoice price = $1204.945
Invoice price = $1,204.95
