Answer:
The coupon rate on the bonds is 5.10%
Explanation:
In order to arrive at the coupon rate, first of all the coupon interest amount payable by the bonds on annual basis was determined using the PMT formula in excel as shown in the spreadsheet attached.
The coupon interest was finally deduced by dividing coupon amount by face value.
The coupon amount is $51.04,when divided by $1000 face value gives 5.10% coupon rate
