The Next Questions Refer to the Following

Multiple Choice

The next questions refer to the following.
A five-year bond is to be issued with a face value of $1,000 and a coupon rate of 5%.
-A potential buyer who demands a 9% rate of return would be willing to pay a price up to,but not more than

A) $647.50
B) $812.00
C) $844.41
D) $901.10
E) $953.62