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The prices for coupon bonds with face value $1000 and annual 4.5% coupons (paid at the end of each year) are given below: Term Price

The prices for coupon bonds with face value $1000 and annual 4.5% coupons (paid at the end of each year) are given below:

Term

Price

1

1000.0000

2

990.9080

3

973.8148

4

949.9390

Using annual effective spot rates, calculate the price (to the nearest $1) of a 4-year bond with face value $1000 and annual 4% coupons paid at the end of each year.

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