Wingler Inc.'s outstanding bonds have a $1,000 par value, and they mature in 15 years. Their nominal annual yield to maturity is 8.0%, they pay interest semiannually, and they sell at a price of $827.50. What is the bond's nominal coupon rate? a. 3.00% b. 4.20% c. 5.45% d. 6.00% e 8.28%
Wingler Inc.'s outstanding bonds have a $1,000 par value, and they mature in 15 years. Their nominal annual yield to maturity is 8.0%, they pay interest semiannually, and they sell at a price of $827.50. What is the bond's nominal coupon rate? a. 3.00% b. 4.20% c. 5.45% d. 6.00% e 8.28%
Chapter6: Bonds (debt) - Characteristics And Valuation
Section: Chapter Questions
Problem 8PROB
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Wingler Inc.'s outstanding bonds have a $1,000 par value, and they mature in 15 years. Their nominal annual yield to maturity is 8.0%, they pay interest semiannually, and they sell at a price of $827.50. What is the bond's nominal coupon rate? a. 3.00% b. 4.20% c. 5.45% d. 6.00% e 8.28%
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