Question: An issue of semiannual coupon, 8 years to maturity corporate bonds are selling at par and have an effective annual yield of 8.6285 percent. What

An issue of semiannual coupon, 8 years to maturity corporate bonds are selling at par and have an

effective annual yield of 8.6285 percent. What is the amount of each interest payment if the face

value of the bonds is $1,000?

A) $41.50

B) $42.25

C) $43.15

D) $85.00

E) $86.29

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