A firm has just issued a bond that has a face value of $1000, a coupon rate of 8 percent paid semi-annually, and matures in 8 years. The bonds were issued at a discount ( $950.35) with a yield to maturity of 8.88%. Assume that 3 years from now, the bond trades to earn an effective annual yield to maturity of 10%.

At what price should this bond be trading for at the beginning of year 4?