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ABC Pharmaceuticals Inc. issued $100 million in bonds due in 10 years. After discussions with its investment banker, ABC decided that the bonds would be

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ABC Pharmaceuticals Inc. issued $100 million in bonds due in 10 years. After discussions with its investment banker, ABC decided that the bonds would be issued with a coupon rate of 7 percent with interest paid annually. The 7% coupon bonds were issued at par. At the time the bonds were issued, the bonds had a yield to maturity (required rate of return) d. Not enough information provided Greater than the coupon rate Equal to the coupon rate. Less than the coupon rate

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