The current price of a 10-year bond, $1000 par value bond is $1.158,91. interest on this bond is paid every six months, and the nominal annual yield is 14%. given these facts, what is the annual coupon rate on this bond? select one:

a. 10%
b. 12%
c. 14%
d. 17%

You are the manager of a large crude-oil refinery. as part of the refining process, a certain heat exchanger (operated at high temperatures and with abrasive material flowing through it) must be replaced every year. the replacement and downtime cost in the first year is $165 comma 000. this cost is expected to increase due to inflation at a rate of 7% per year for six years (i.e. until the eoy 7), at which time this particular heat exchanger will no longer be needed. if the company's cost of capital is 15% per year, how much could you afford to spend for a higher quality heat exchanger so that these annual replacement and downtime costs could be eliminated?