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Company A issued 25-year, noncallable, 6.5% annual coupon bonds at their par value of $1,000 five years ago . Today, the market interest rate on

Company A issued 25-year, noncallable, 6.5% annual coupon bonds at their par value of $1,000 five years ago . Today, the market interest rate on these bonds is 5.75%. What is the current price of the bonds?

a. $1005.85 b. $1202.94 c. $1087.80 d. $1462.40 e. $1181.45

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