Question

Ernesto Montenegro purchase a twelve 1000 Bonds having a quoted price of 100.75 he have to pay a 6% brokerage fee of the same price. What was the total cost of the bonds to the nearest cent

Answer 1

Answer: $106.8

Explanation:

Given that the bond price is $100.75

With a 6% brokerage fee

Find the total cost to the nearest cent

First, we calculate the 6% brokerage fee= 6/100 × 100.75

= 0.06 x 100.75

= 6.045

Total cost therefore is the sum of brokerage fee and the cost of bond

= $6.045 + $100.75

= $106.795

To the nearest cent = $106.8