What coupon rate should the company set on its new bonds

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Reference no: EM131066273

Pembroke Co. wants to issue new 17-year bonds for some much-needed expansion projects. The company currently has 10 percent coupon bonds on the market that sell for $1,050, make semiannual payments, and mature in 17 years. What coupon rate should the company set on its new bonds if it wants them to sell at par?

Reference no: EM131066273

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