Ezzell Enterprises' noncallable bonds currently sell for $1,196.25. They have a 5-year maturity, semi-annual coupon rate of 12.00%, and a par value of $1000. What is the bond's capital gain or loss yield?

a).3.09%

b).8.85%

c).10.03%

d).7.25%

e).2.78%