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A 30-year bond with annual 10% coupons is priced at 120% of par. It is callable at the following dates and prices: Call Date (Years

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A 30-year bond with annual 10% coupons is priced at 120% of par. It is callable at the following dates and prices: Call Date (Years from now) Call Price (% of Par) 1-10 125% 11-15 120% 16-20 115% 21-29 105% If the bond is not called, it will redeem for par. Determine the annual effective yield that a purchaser is guaranteed to attain at the current price. A 8.055% B 8.066% 8.077% D 8.088% E 8.099%

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