You purchase a \($10\),000 bond with a bond rate of 6 percent per year payable semiannually for 2 years.

You pay \($9\),600 for the bond. Which statement is correct?

a. Semiannual cash flows will be - \($9\),600, \($300\), \($300\), \($300\), \($9\),900, and the bond will earn more than 10 percent.

b. Semiannual cash flows will be - \($9\),600, \($300\), \($300\), \($300\), \($9\),900, and the bond will earn less than 10 percent.

c. Semiannual cash flows will be - \($9\),600, \($300\), \($300\), \($300\), \($10\),300, and the bond will earn more than 10 percent.

d. Semiannual cash flows will be - \($9\),600, \($300\), \($300\), \($300\), \($10\),300, and the bond will earn less than 10 percent.