Jill wants to buy 5-year zero coupon bonds with a face value of $1,000. Her required return on the bonds is 9.6 percent p.a. Assuming annual compounding, what would Jill be prepared to pay for the bond? ( to the nearest cent )

a.

$632.34

b.

$812.34

c.

$722.34

d.

$1213.92