Barnwell Corp. purchased 10, $1,000, 7% bonds of Simplex Corporation when the market rate of interest was 12%. Interest is paid semiannually on the bonds, and the bonds will mature in eight years.

Using the PV function in Excel Superscript , compute the price Barnwell paid (the present value) on the bond investment. (Assume that all payments of interest and principal occur at the end of the period. Round your answer to the nearest cent.)

Barnwell paid $_____ on the bond investment.