Homework Help: Finance

Posted by Candy on Thursday, November 10, 2011 at 8:41pm.

Company A wants to issue new 20-year bonds for needed projects. The company currently has 10 percent coupong bonds on the market that sell for $1,063, make semiannual payments, and mature in 20 years. What coupon rate should the company set on its new bonds if it wants them to sell at par?

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