The company currently has 10 percent coupon bonds on the, Financial Management

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The company currently has 10 percent coupon bonds on the

Standard Bloke Limited wants to issue new 20-year bonds for some much-needed expansion projects for their cement company in the Northern part of the country.

The company currently has 10 percent coupon bonds on the market that sell for K1,063, make semiannual payments, and mature in 20 years.

What coupon rate should the company set on its new bonds if it wants them to sell at par?

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