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A firm issues five-year bonds with a coupon rate of 6.4%, paid semiannually. The credit spread for this firm's five-year debt is 0.8%. New five-year

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A firm issues five-year bonds with a coupon rate of 6.4%, paid semiannually. The credit spread for this firm's five-year debt is 0.8%. New five-year Treasury notes are being issued at par with a coupon rate of 4%. What should the price of the firm's outstanding five-year bonds be per $100 of face value? A. $128.45 B. $149.85 C. $107.04 D. $85.63

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