Final answer:
The price of a bond quoted at $989 is the clean price, which is the bond's price without any accrued interest. This differs from other terms such as face value and dirty price, which include different considerations when pricing a bond.
Step-by-step explanation:
A bond quoted at a price of $989 is referred to as the clean price. The clean price is the price of a bond excluding any accrued interest. In contrast, the dirty price of a bond includes accrued interest.
Other terms related to bonds include face value, which is the amount the borrower agrees to pay the investor at maturity, and call price, which is a price at which a bond can be redeemed before maturity by the issuer. The main factors used to calculate a bond's price are its face value, interest rate or coupon rate, and maturity date, along with prevailing market interest rates.