A. $230
B. 1.52%
C. $1.52
D. $1,130
✅ The correct answer is option D.
Return on callable bond = Rate of return on non-callable bonds + Value of issuer option
= $680 + $450 = $1,130.
Return on callable bond = Rate of return on non-callable bonds + Value of issuer option
= $680 + $450 = $1,130.