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Company A ' s 2 5 - year bonds have an annual coupon rate of 9 . 4 % . Each bond has a face

Company A's 25-year bonds have an annual coupon rate of 9.4%. Each bond has a face value of $1,000 and makes semiannual interest payments. If you require an 8.7% nominal yield to maturity on this investment, what is the maximum price you should be willing to pay for the bond?
a. $1,052.71
b. $597.35
c. $1,070.89
d. $1,079.22
e. $1,112.30

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