An investor purchases a 6-year, semiannual payment bond with a coupon rate of 9.0% and a yield to maturity of 7.50%. Immediately after the bond is purchases and before the first coupon is received interest rates increase by 50 bps, allowing the investor to earn 8.0% on all reinvested cash flows. Two years later, the investor sells the bond. If the yield to maturity on the sale date remains 8.0%, the investors horizon yield over the two-year holding period is closest to:

A)6.80%.

B)8.25%.

C) 7.50%.