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Gabriele Enterprises has bonds on the market making annual payments, with 9 years to maturity, a par value of $1,000, and selling for $860. At

Gabriele Enterprises has bonds on the market making annual payments, with 9 years to maturity, a par value of $1,000, and selling for $860. At this price, the bonds yield 11 percent. What must the coupon rate be on the bonds?

Multiple Choice

11.00%

9.85%

8.47%

8.57%

16.94%

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