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*** please show all work and solve by using formuls Suppose that a three-year bond paying annual coupons and a face value of $100 is

*** please show all work and solve by using formuls

Suppose that a three-year bond paying annual coupons and a face value of $100 is trading at $108. If the effective annual market discount rate is 6%, what is the bonds coupon rate?

Answer: Coupon Rate = 8.99%

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