BND Corporate bonds are currently quoted at 102 7/8. Your client wants to buy 5 of these bonds. How much money will your client pay?

Explanations

First convert the fraction to a decimal. You will get 0.875. So the bond is trading at 102.875 % of par value. Par value is $1,000 for these bonds. Each bond is $1028.75. 1,028.75 x 5 = $5,143.75