Calculate decimals to four places.

13 Sanitas Corporation recently issued 10-year bonds at a price of $1,000. These bonds pay $60 in

interest each six months. Their price has remained stable since they were issued, still trading at

its face. Due to additional financing needs, the firm wishes to issue new bonds that would have a

maturity of 10 years, a par of $1,000, and pay $40 in interest every six months. If both bonds have

the same yield, how many new bonds must Sanitas issue to raise $2,000,000 cash?

a. 2,400

b. 2,596

c. 3,000

d. 5,000

e. 4,275