Your company currently has

5.75%

coupon-rate bonds (coupons are paid semi-annually) with ten years to maturity and a price of

$1089.

If you want to issue new 10-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 6 months.)

X Problem 6-19 Your company currently has 5.75% coupon-rate bonds (coupons are paid semi-annually) with ten ye for both bonds, the next coupon payment is due in exactly 6 months.) You need to set a coupon rate of %. (Round to two decimal places.)