Based on the coupon interest payable on this bond of 7.2%, the coupon payment will be $36.
What are the coupon payments?
The bond pays semiannual interest payments which means that coupons are paid twice a year.
The coupon payment is:
= Face value of bond x Coupon rate / 2 semi annual periods per year
Solving gives:
= 1,000 x 7.2%/2
= $36
Find out more on coupon payments at https://brainly.com/question/26639808.
