(7) Which bond would have a higher price: a bond with a 5% coupon rate or a bond with a 7% coupon rate, both with the same face value and maturity date, when the market interest rate is 6% ? The bond with a 5% coupon rate The bond with a 7% coupon rate Both bonds would have the same price It cannot be determined without additional information (9) ABC Inc. has reported the following financial information for the year: - Sales: $1,000,000 - Cost of Goods Sold: $400,000 - Gross Profit: $600,000 - Operating Expenses: $300,000 - Interest Expense: $50,000 - Tax Rate: 25% Calculate the company's Net Income and Earnings Per Share (EPS). d. Net Income: $250,000, EPS: $6.25 a. Net Income: $150,000, EPS: $3.75 b. Net Income: $100,000, EPS: $2.50 Net Income: $200,000, EPS: $5.00 (7) Which bond would have a higher price: a bond with a 5% coupon rate or a bond with a 7% coupon rate, both with the same face value and maturity date, when the market interest rate is 6% ? The bond with a 5% coupon rate The bond with a 7% coupon rate Both bonds would have the same price It cannot be determined without additional information (9) ABC Inc. has reported the following financial information for the year: - Sales: $1,000,000 - Cost of Goods Sold: $400,000 - Gross Profit: $600,000 - Operating Expenses: $300,000 - Interest Expense: $50,000 - Tax Rate: 25% Calculate the company's Net Income and Earnings Per Share (EPS). d. Net Income: $250,000, EPS: $6.25 a. Net Income: $150,000, EPS: $3.75 b. Net Income: $100,000, EPS: $2.50 Net Income: $200,000, EPS: $5.00