how do i solve this without using a calculator and please provide explanation to every detail.In order to accurately assess the capital structure of a firm, it is necessary to convert its balance

sheet figures to a market value basis. KJM Corporation's balance sheet as of today is as follows:

Long$-$term debt $($bonds$,$ at par$)$ $$10,000,000$

Preferred stock $2,000,000$

Common stock $($$$10$ par$)10,000,000$

Retained earnings $4\mathrm{.}000\mathrm{.}000$

Total debt and equity $$26\mathrm{.}000\mathrm{.}000$

The bonds have a $4\mathrm{.}0\%$ coupon rate, payable semiannually, and a par value of $$1,000.$ They

mature exactly $10$ years from today. The yield to maturity is $12\%,$ so the bonds now sell below

par. What is the current market value of the firm's debt?

a$.$ $$5,276,731$

b$.$ $$5,412,032$

c$.$ $$5,547,332$

d$.$ $$7,706,000$

e$.$ $$7,898,650$