On August 7, 2016, you purchase a $10,000 T-note that matures on May 15, 2025. The coupon rate on the T-note is 6.875 percent and the current price quoted on the bond 101.3437. The last coupon payment occurred on May 15, 2016, and the next coupon payment will be paid on November 15, 2016. Calculate the accrued interest on this bond.

Select one:

a. 1.61%

b. 1.58%

c. 1.59%

d. 1.62%

e. None of the above