3. A 10-year bond that pays 8% quarterly coupons and redeems at the par value of 50,000 may be called any time after the 25th coupon. The bond has been purchased at a price that guarantees a minimum annual yield of 6.8%, convertible quarterly. If the bond is called after 8 years, what annual nominal yield is actually realized? (A) 6.6% (B) 6.7% (C) 6.8% (D) 6.9% (E) 7.0%