bond has a $1,000 par value, 14 years to maturity, and pays a coupon of 8.25% per year, annually. The bond can be called in seven years at $1,045. If the bonds current yield is 8.52% per year, what is its annual yield to maturity?

Question 7 options:

A)

8.38%

B)

8.42%

C)

8.65%

D)

8.58%

E)

8.49%