A coupon bond that pays interest semiannually has a par value of $1,000, matures in 8 years, and has a yield to maturity of 6%. If the coupon rate is 7%, the intrinsic value of the bond today will be __________.
A. $1,000
B. $1,062.81
C. $1,081.82
D. $1,100.03
Answer: B