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Draiman Corporation has bonds on the market with 16.5 years to maturity, a YTM of 10.6 percent, a par value of $1,000, and a current price of $942. The bonds make semiannual payments. What must the coupon rate be on the bonds? Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16. Coupon rate %

Draiman Corporation has bonds on the market with 16.5 years to maturity, a YTM of 10.6 percent, a par value of $1,000, and a current price of $942. The bonds make semiannual payments. What must the coupon rate be on the bonds? Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16. Coupon rate %

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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Draiman Corporation has bonds on the market with 16.5 years to maturity, a YTM of 10.6 percent, a par value of $1,000, and a current price of $942. The bonds make semiannual payments. What must the coupon rate be on the bonds? Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16. Coupon rate %
Transcribed Image Text:Draiman Corporation has bonds on the market with 16.5 years to maturity, a YTM of 10.6 percent, a par value of $1,000, and a current price of $942. The bonds make semiannual payments. What must the coupon rate be on the bonds? Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16. Coupon rate %
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