Chamberlain Company wants to issue new $18-$year bonds for some much$-$needed

expansion projects. The company currently has $11\mathrm{.}6$ percent coupon bonds on the

market that sell for $$1,494\mathrm{.}05,$ make semiannual payments, and mature in $18$ years. What

coupon rate should the company set on its new bonds if it wants them to sell at par?

Assume a par value of $$1,000.$

Multiple Choice

$6\mathrm{.}50\%$

$6\mathrm{.}80\%$

$6\mathrm{.}70\%$

$3\mathrm{.}40\%$

$7\mathrm{.}10\%$