Problemseether co wants to issue new 11-year bonds for some, Ask an Expert

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Problem:

Seether Co. wants to issue new 11-year bonds for some much-needed expansion projects. The company currently has 8.7 percent coupon bonds on the market that sell for $959.22, make semiannual payments, and mature in 11 years. The company should set a coupon rate of _______ percent on its new bonds if it wants them to sell at par. Explain all workings out and describe comprehensively.

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Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M91146881

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