What coupon rate should the company set on its bonds

Reference no: EM13287544

If a company would like to issue some semiannual coupon bonds at par. Comparable bonds have a current yield of 8.16 percent, an effective annual yield of 8.68 percent, and a yield to maturity of 8.50 percent. What coupon rate should the company set on its bonds?

A. 8.00 percent

B. 8.16 percent

C. 8.50 percent

D. 8.68 percent

E. 9.00 percent

Reference no: EM13287544

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