In the section on the yield to call, a bond pays annual interest of $80 and matures after ten years. The bond is valued at $1,147 if the comparable rate is 6 percent and the bond is held to maturity. If, however, an investor expects the bond to be called for

$1,050 after five years, the value of the bond would be $1,122. Investor A expects the bond to be called and investor B expects the bond not to be called. Investor A sells the bond to B for $1,122. What is the annual return earned by B if the bond is not called?

Why is this yield greater than the 6 percent earned on comparable securities?