Question: please need help AEP's outstanding bonds have a $1,000 par value, and they mature in 30 years. Their nominal annual, not semiannual yield to maturity

please need help
please need help AEP's outstanding bonds have a $1,000 par value, and

AEP's outstanding bonds have a $1,000 par value, and they mature in 30 years. Their nominal annual, not semiannual yield to maturity is 7.55%, they pay interest semiannually, and they sell at a price of $1125. What is the bond's nominal coupon interest rate? 9.25% 7.55% 8.61% 10.55% 8.81%

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!