One year ago Lerner and Luckmann Co. issued 15-year, noncallable, 8.1% annual coupon bonds at their par value of $1,000. Today, the market interest rate on these bonds is 5.5%. What is the current price of the bonds, given that they now have 14 years to maturity?

Select the correct answer.

a. $1,254.13

b. $1,246.93

c. $1,256.53

d. $1,249.33

e. $1,251.73