ilywater Incorporated has a bond outstanding with a face value of $1500 that reaches maturity in 15 years. The bond certificate indicates that the stated coupon rate for this bond is 8% and that the coupon payments are to be made semi-annually.

Assuming the appropriate YTM on the Lilywater bond is 7.5%, then the price that this bond trades for will be closest to:

Question 7 options:

$1250

$1567

$960

$3040

$1000