Henry is planning to purchase a Treasury bond with a coupon rate of 3.22% and face value of $100. The maturity date of the bond is 15 May 2033.

(a) If Henry purchased this bond on 5 May 2018, what is his purchase price (rounded to four decimal places)? Assume a yield rate of 1.09% p.a. compounded half-yearly.

Select one:

a. 130.9724

b. 130.9718

c. 130.07

d. 129.3623