A $1,000 bond has a coupon rate of 10 percent and matures after eight years. Interest rates are currently 8 percent.

a.What will the price of this bond be if the interest is paid annually? Round your answer to two decimal places.

b.What will the price be if investors expect that the bond will be called with no call penalty after two years? Round your answer to two decimal places.

c.What will the price be if investors expect that the bond will be called after two years and there will be a call penalty of one year's interest? Round your answer to two decimal places.