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You're considering an investment in 1 2 - year, $ 1 , 0 0 0 face value bonds with a 9 . 0 0 %

You're considering an investment in 12-year, $1,000 face value bonds with a 9.00% coupon paid semiannually and a yield to maturity of 7.50%. The bonds are callable in four years at a call price of $1,045. If you believe that the bonds will be called how much will you earn?
Select one:
a.6.61%
b.7.48%
c.3.47%
d.5.68%
e.7.50%
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