Aregular way municipal bond trade takes place on tuesday, august 13. interest payment dates for the bond are february 15 and august 15. which of the following statements are true? i. settlement occurs prior to the interest payment date. ii. settlement occurs on the interest payment date. iii. accrued interest must be paid by the buyer. iv. no accrued interest will be paid by the buyer. (a) i and iii (b) i and iv (c) ii and iii (d) ii and iv

(D) II and IV

Explanation:

Usually, the municipal trade are finished in three business days after the day the trade was made, the accumulated interest is paid too but it does not include the day the trade was finished.

Therefore, the trade will be finished by the date of the 15th, since the trade settles on the interest payment date and interest is paid up to but not including settlement, the interest will not be accumulated.

is there multiple choice or do you need like an essay answer?

for many centuries there were important factors which the economies of the muslim empires developed increasingly. they applied economic procedures in production, investment, finance, taxation and property. they used to tax certain goods (for example: harvest), they charged interest on money lent, they signed contracts with merchants; they relied on a common currency, and they used checks as well as promissory notes. with the money collected by means of taxation, the government provided the needy with an income. in addition, trading networks covered huge distances, so far regions started to have contact and exchange goods. this trade network covered areas of asia, africa and europe.