Kelly Girl's Golf Games, Inc

Kelly Girl's Golf Games, Inc., with the help of its investment bank recently issued $7.95 million of new debt. The offer price (and face value) on the debt was $1,000 per bond and the underwriter's spread was 4 percent of the gross proceeds. Calculate the amount of capital funding Kelly Girl's Golf Games, Inc., raised through this debt offering.

A) $6,992,500
B) $7,632,000
C) $8,281,300
D) $8,794,200