An 8-year 10% Treasury bond is sold to yield j₂ = 14% p.a. Suppose coupon payments reinvested at j₂ = 11% p.a. This Treasury bond's face value of $100 that matures at par.

a. Calculate the total realised compound yield (TRCY) as a j₂ rate. Give your answer as a percentage correct to two decimal places.

Select one:

a. 2.65%

b. 13.24%

c. 6.53

d. 13.06%