Bonds, for a federal treasury bill, were issued with a face value of $250,000 and a coupon rate of 0.20% per quarter, and payments are quarterly. This bond is bought in the bond market before maturation, and there are only 16 payments remaining. If the first coupon payment of this bond is due today and the next payment is due after three months (one quarter), which you collect if you buy this bond now. How much are you ready to pay for this bond today? As an investor, you wish to earn 1.6% compounded daily.

Hints: *Find quarterly effective interest rate for this investor.

*Coupon rate can be used to calculate recurrent revenues from this bond which will be coupon rate x face value.