Moerdyk Corporation's bonds have a 10-year maturity, a 6.25% semiannual coupon, and a par value of $1,000. The going interest rate (rd) is 4.75%, based on semiannual compounding. What is the bond's price? Mathematically solve this step by step or with a financial calculator (explaining the inputs) DO NOT USE EXCEL TO SOLVE

a.

1,118.31

b.

1,090.35

c.

1,063.09

d.

1,146.27