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Your company currently has $ 1 , 0 0 0 par, 6 . 5 0 % coupon bonds with 1 0 years to maturity and
Your company currently has $ par, coupon bonds with years to maturity and a price of $ If you want to issue
new year coupon bonds at par, what coupon rate do you need to set? Assume that for both bonds, the next coupon payment is due
in exactly six months.
You need to set a coupon rate of Round to two decimal places.
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