Question: Based on the formula derived in the slides on corporate securities, what is the appropriate coupon for a corporate bond with an 8% probability of

Based on the formula derived in the slides on corporate securities, what is the appropriate coupon for a corporate bond with an 8% probability of default and a 50% expected recovery rate. Assume the risk-free rate is 2%. (If your answer is 5.25%, enter 5.25.)

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