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Business, 24.04.2020 22:54 Kylabayor

Chamberlain Co. wants to issue new 18-year bonds for some much-needed expansion projects. The company currently has 12.0 percent coupon bonds on the market that sell for $1,129.04, make semiannual payments, and mature in 18 years. What coupon rate should the company set on its new bonds if it wants them to sell at par? Assume a par value of $1,000.

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