Price a 3-year, 4% annual coupon, $1000 par bond putable at par in year 1 and year 2, using the following calibrated interest rate model.

Assume annual compounding. Round your answer to 2 decimal places.

t = 0

t = 1

t = 2

r_2,HH = 6.4%

r_1,H = 3.5%

r_0 = 1.3%

r_2,HL = 4.4%

r_1,L = 3%