Assume that you are considering the purchase of a 20-year, noncallable bond with an annual coupon rate of 8.6%. The bond has a face value of $1,000, and it makes semiannual interest payments. If you require a 9.8% nominal yield to maturity on this investment, what is the maximum price you should be willing to pay for the bond?

a. $895.62

b. $880.46

c. $525.29

d. $924.59

e. $932.27