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Daewoo corporation has bonds on the market with 13 years to maturity, a yield to maturity of 14% and is currently selling at $1250. When

Daewoo corporation has bonds on the market with 13 years to maturity, a yield to maturity of 14% and is currently selling at $1250. When coupons are paid semi-annually, what is the annual coupon rate on these bonds?

a) approx. 20.12%

b) approx. 12.00%

c) approx. 14.25%

d) approx. 16.52%

e) approx. 18.23%

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