A 6 year bond issued today by Elpha, Inc. has a coupon rate of 8%, a required return of 3% and a face value of $1000. The bond will be sold 2 years from now when interest rates will be 4%. What is the beginning value of the bond when it is issued (to the nearest dollar)?
Group of answer choices
a $1,271
b $1,196
c $1,208
d $1,312
e $1,000