Question: Use the following information for this question: Rating Yield AAA 4.50% AA 5.00% BBB 7.00% Your company is rated AA and has 5 year bonds

Use the following information for this question:

Rating Yield

AAA 4.50%

AA 5.00%

BBB 7.00%

Your company is rated AA and has 5 year bonds with semi-annual coupons. If the coupon on your bonds is 6.0%, what price must they trade at if par value is $100?

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