can you please explain why the answer is option E

A bond with a coupon rate of 8 percent that pays annual interest and matures in eight years. The market rate of return on bonds of this risk is currently 11 percent. What is the value of a $1,000 face value bond at end of year 2? a $856.16 b. 5843.07 0 $849.44 d. $893.30 e. $873.08