Field Industries' outstanding bonds have a 25-year maturity and $1,000 par value.Their nominal yield to maturity is 9.25%, they pay interest semiannually, and they sell at a price of $850.What is the bond's nominal (annual) coupon interest rate?
A) 6.27%
B) 6.60%
C) 6.95%
D) 7.32%
E) 7.70%

Question

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The Answer of Field Industries' outstanding bonds have a 25-year maturity and $1,000 par value.Their nominal yield to maturity is 9.25%, they pay interest semiannually, and they sell at a price of $850.What is the bond's nominal (annual) coupon interest rate?
A) 6.27%
B) 6.60%
C) 6.95%
D) 7.32%
E) 7.70%

Field Industries' Outstanding Bonds Have a 25-Year Maturity and $1,000