Determining the coupon rate on bonds


Rekall Vacations Inc has bonds on the market with 17.5 years to maturity, a YTM of 7.80 percent, and a current price of $1,066. The bonds make semiannual payments.

What must the coupon rate be on these bonds?

Solution Preview :

Prepared by a verified Expert
Finance Basics: Determining the coupon rate on bonds
Reference No:- TGS0672689

Now Priced at $5 (50% Discount)

Recommended (97%)

Rated (4.9/5)