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A corporate bond value with an annual interest rate of 5%, making semi-annual payments. After two years, the bond matures and repays the principal. The

A corporate bond value with an annual interest rate of 5%, making semi-annual payments. After two years, the bond matures and repays the principal. The yield to maturity is 3%. Face value of the corporate bond = $1000 Annual coupon rate = 5% What is the value of the bond? Select one: a. $1030.00 b. $1015.20 c. $981.42 d. $888.49

This is the answer: 981.42 I would like the steps.

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