Use the following information to answer the question$($s$)$ below.

Consider the following information regarding corporate bonds:

Rearden Metal has a bond issue outstanding with ten years to maturity, a yield to maturity of $8\mathrm{.}6\%,$ and a B rating. The

corresponding risk $-$ free rate is $3\%$ and the market risk premium is $6\%.$ Assuming a normal economy, the expected

return on Rearden Metal's debt is closest to:

A$.0\mathrm{.}6\%$

B$.1\mathrm{.}6\%$

C$.6\mathrm{.}0\%$

D$.4\mathrm{.}6\%$