Zumwalt Corporation's Class S Bonds Have a 12-Year Maturity, $1,000

Zumwalt Corporation's Class S bonds have a 12-year maturity, $1,000 par value, and a 5.75% coupon paid semiannually (2.875% each 6 months) , and those bonds sell at their par value. Zumwalt's Class A bonds have the same risk, maturity, and par value, but the A bonds pay a 5.75% annual coupon. Neither bond is callable. At what price should the annual payment bond sell?

A) $943.98
B) $968.18
C) $993.01
D) $1,017.83
E) $1,043.28