A 10-year Circular File bond with a face value of $1,000 pays interest once a year of $65 and sells for $972.
a. What are its coupon rate and yield to maturity? (Do not round intermediate calculations. Enter the coupon rate as a whole percent and the yield to maturity as a percent rounded to 2 decimal places.)
b. If Circular wants to issue a new 6-year bond at face value, what coupon rate must the bond offer? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)