Question 202 pts

Jerome Corporation's bonds have 10 years to maturity, a 7.5% coupon paid semiannually, and a $1,000 (price of a 100) par value. The bond's current value $1,080 (price of 108), but it can be called in 4 years at a price of $1,050 (price of 105). What is the bond's nominal yield to call?

Group of answer choices

6.75%

5.26%

6.32%

6.40%