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What coupon rate should the company set on its new bonds

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Question - Chamberlain Co. wants to issue new 17- year bonds for some much -needed expansion projects. The company currently has 9 percent coupon bonds on the market that sell for $1,070 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: EM131871859

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