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Business, 02.08.2019 23:10 Yomarie1104

"zheng corporation plans to issue new bonds to finance its expansion plans. in its efforts to price the issue, zheng corporation has identified a company of similar risk with an outstanding bond issue that has an 8 percent coupon rate having a maturity of ten years. this firm's bonds are currently selling for $1,091.96. if interest is paid annually for both bonds, what must the coupon rate of the new bonds be in order for the issue to sell at par?

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