5. The yield curves on the dollar and yen are flat at 8 percent and 4 percent per year, respectively. An investment banker is considering issuing a dollar/yen dual-currency bond for 150 million. This bond would pay the coupons in yen, and the principal would be repaid in dollars. The bond will make a principal payment of $1.36 million in two years, with interest paid in years 1 and 2. The spot exchange rate is Y110.29 per $. a. What should the coupon rate be if the bond is issued at fair market conditions that is, if the issue price is equal to its theoretical market value? b. If the actual coupon rate is 6 percent, compute the percentage price. 5. The yield curves on the dollar and yen are flat at 8 percent and 4 percent per year, respectively. An investment banker is considering issuing a dollar/yen dual-currency bond for 150 million. This bond would pay the coupons in yen, and the principal would be repaid in dollars. The bond will make a principal payment of $1.36 million in two years, with interest paid in years 1 and 2. The spot exchange rate is Y110.29 per $. a. What should the coupon rate be if the bond is issued at fair market conditions that is, if the issue price is equal to its theoretical market value? b. If the actual coupon rate is 6 percent, compute the percentage price