1. Over the past year (from one year ago to today), the inflation rate was 2.79% the risk-free rate was 6.81% and the real rate of return for a bond was 11.18%. The bond is currently priced at $913.00 pays annual coupons of $99.00 and just made a coupon payment. What was the price of the bond one year ago?

   		$910.24 (plus or minus $1.00)
   		$857.70 (plus or minus $1.00)
   		$923.36 (plus or minus $1.00)
   		$885.53 (plus or minus $1.00)
   		None of the above is within $1.00 of the correct answer