Klapol, Inc

Klapol, Inc. has a 20-year bond issue outstanding that pays a 7.5% coupon. The bonds are currently priced at $987.50 and have a par value of $1,000. Interest is paid semi-annually. What is the yield to
Maturity?

A) 7.43%
B) 7.47%
C) 7.62%
D) 7.65%
E) 7.70%