Answer:
Invoice price = Clean price + Accrued interest = $977 + $20.37 = $997.37
Explanation:
The statement given in the question that "interest is paid semi-annually ( i.e. every 6 months ) and there are 2 months to the next coupon payment" means that the earlier coupon payment was done 4 months ago ( i.e. 6 months - 2 months ), thus, the accumulated interest will be for 4 months (6 months - 2 months )
Accrued interest = Par value * coupon rate * months from the earlier coupon payment / 12 = $1,000 * 6.11% * 4 / 12 = $20.37
Invoice price = Clean price + Accrued interest = $977 + $20.37 = $997.37
