Suppose that the ask quotes (in dollars and cents per $100 par) are as follows for a series of zero coupon bonds:

• Maturity: 0.5 years; 97.00
• Maturity: 1.0 years; 93.92
• Maturity: 1.5 years; 90.68
• Maturity: 2.0 years; 87.22
• Maturity: 2.5 years; 83.64
• Maturity: 3.0 years; 79.94

A two-year coupon bond has the same risk as these zeros. The bond promises semi-annual coupons of $44 and a par of $1,000. What is the bond value of this two-year bond?

Suggestion: set up your calculation in a table in Excel. Do not round values at intermediate steps in your calculations. Enter your answer in dollars and cents (to the penny). Do not type the dollar symbol or commas. For example, enter a solution of $1,234.56 as 1234.56