Question
Merton Enterprises has bonds on the market making annual payments, with 15 years to maturity, and selling for $966. At this price, the bonds yield
| Merton Enterprises has bonds on the market making annual payments, with 15 years to maturity, and selling for $966. At this price, the bonds yield 7.8 percent. |
| Required: |
| What must the coupon rate be on Mertons bonds? (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16). ) |
| Coupon rate | % |
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Contemporary Islamic Finance
Authors: Karen Hunt-Ahmed
1st Edition
1118180909, 978-1118180907
