Problemobrien ltds outstanding bonds have a 1000 par value, Ask an Expert

Accounting

Problem:

O'Brien Ltd.'s outstanding bonds have a $1,000 par value, and they mature in 15 years. Their nominal yield to maturity is 8.55%, they pay interest semiannually, and they sell at a price of $1038.

Required:

Question: What is the bond's nominal coupon interest rate?

Note: Please provide through step by step calculations.

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M91168593

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