Waste Deep Disposal Services is considering refunding a $525,000,000 bond issue. The old bonds have a 7.25% coupon rate. The new bonds will have a 6% coupon rate. Both issues will be outstanding for about four weeks. What is the overlapping interest if the company is in the 38% tax bracket (rounded)?

a. $1,517,465

b. $1,357,642

c. $1,815,288

d. $1,225,427