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Martell Industries has a bond outstanding with a 2 0 - year maturity, a 1 2 % annual coupon rate, and a $ 1 ,

Martell Industries has a bond outstanding with a 20-year maturity, a 12% annual coupon rate, and a $1,000 par value. The bond has an 8% yield to maturity, but it can be called in 7 years at a price of $1,120. What is the bond's yield to call? [Hint: Be sure to carry out your calculation to 4 decimal places if calculating this answer as a decimal or to 2 decimal places if calculating this answer as a percentage.]
5.08%
5.44%
5.79%
6.30%
6.55%

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