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A corporation issues a debt instrument such as a bond that promises to pay you annually $40 for four years and $1,000 after four years.

A corporation issues a debt instrument such as a bond that promises to pay you annually $40 for four years and $1,000 after four years. What is the maximum amount you would pay for this debt instrument if you wanted to earn 7 percent? Use Appendix B and Appendix D to answer the question. Round your answer to the nearest dollar. $........?
image text in transcribedappendix B
image text in transcribedappendix D
Interest Factors for the Present Value of an Annuity of One Dollar

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