You purchased a $1,000 face value Saskatchewan Hydro Energy bond maturing in seven years. The coupon rate was 4.5% payable semiannually. If the prevailing market rate at the time of purchase was 5.6% compounded semiannually, what price did you pay for the bond?

Select one:

a. $973.02

b. $987.02

c. $1,002.02

d. $937.02

e. $859.02