Assume that you are considering the purchase of a 20-year, noncallable bond with an annual coupon rate of 4.5%. The bond has a face value of $1,000, and it makes semiannual interest payments. If you require an 6.9% nominal yield to maturity on this investment, what is the maximum price you should be willing to pay for the bond?

Question 8 options: a) $891.95 b) $741.74 c) $818.30 d) $711.92 e) $998.33