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Workman Software wants to issue new 20-year bonds for some much-needed expansion projects. The company currently has 4.3% coupon bonds on the market that sell
Workman Software wants to issue new 20-year bonds for some much-needed expansion projects. The company currently has 4.3% coupon bonds on the market that sell for $867, make semiannual payments, and mature in 14 years. What coupon rate should the company set on its new bonds if it wants them to sell at par of $1,000?
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