Annual bonds outstanding with sixteen years to maturity

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A company has 7.5% semi-annual bonds outstanding with sixteen years to maturity. If the bonds are currently selling for $1,012.50 each, then is the yield-to-maturity greater than, less than, or equal to the coupon rate of 7.5%?PLEASE SHOW ALL WORK FOR CREDIT.

A. less than

B. equal to

C. greater than

Reference no: EM131318775

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