you have decided to advance refund $10 million of outstanding debt that is callable in five years. the interest rate on the bonds is eight percent. new bonds can be issued at 6 percent. for every dollar of new debt issued, you will incur a five percent issuance cost. interest payments on the present issue are $800,000 per year, with no scheduled principal payments. how much new debt needs to be issued to realize defeasance of the present issue?

a) $10,004,400

b) $10,839,600

c) $11,410,105

d) $11,381,580