answer part B only

(a) Oakleigh Corporation issued a corporate bond at par value of $1000. The current market price of the bond is $1120 and the term to maturity is 10 years. The current market yield on the corporate bonds is 7.5%. If Oakleigh's bonds pay coupons semi-annually, compute the annual coupon rate that justifies the current market price. (6 marks) ? (b) You are an intern at Burwood Technology Limited and have completed the analysis of a proposed project using the IRR method. The CFO asks you to also apply the net present value (NPV) method for the analysis because in her view the two methods may give a conflicting accept/reject decision. Describe three advantages of using NPV method. Describe the conditions where NPV rule and IRR rule would give a conflicting accept/reject decision. (6 marks)