What coupon rate should xyz corp set on its bond

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Reference no: EM131550951

Xyz corp is planning to issue some semiannual coupon bonds at par. Bond of other comparable firms have a current yield of 8.34%, a yield to maturity of 8.5%, and an effective annual yield of 8.67%. What coupon rate should xyz corp set on its bond so that it could be issues at par? 4.17, 8.34, 8.50 or 8.67%

Reference no: EM131550951

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