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Suppose the zero rates are given below and we would like to value an 8% coupon bond with a maturity of 3 years. Par value

Suppose the zero rates are given below and we would like to value an 8% coupon bond with a maturity of 3 years. Par value is $1,000 and coupons are paid annually. Using the zero rates which match the time period of the cash flows, calculate the bond price.

1-year zero rate: 5%

2-year zero rate: 6%

3-year zero rate: 7%

4-year zero rate: 8%

Please report the answer to the nearest dollar. For instance, 856.97 would be 857.

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