Question regarding the merton bonds


Problem:

Merton Enterprises has bonds on the market making annual payments, with 14 years to maturity, and selling for $972. At this price, the bonds yield 8.4 percent.

Required:

Question: What must the coupon rate be on Merton's bonds?

Note: Please show guided help with steps and answer.

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Accounting Basics: Question regarding the merton bonds
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