You and Kanye West are both interested in buying identical holiday homes on the shores of lovely Lake Nipissing. You run into Kanye at the local Royal Bank of Sudbury and find, by coincidence, that you each wish to purchase adjoining $2,000,000.00 properties and are you both seeking a zero-coupon mortgage loan with an initial balance today of 1,600,000.00 and a maturity date exactly one year from today. The lending officer checks today's copy of the Globe and Mail to find the current price, quoted by the Globe per one hundred dollars of face value, of one-year Canadian 'reasury bills and finds that today's price is $98.03922. After reading Kanye's financial statements and yours, he agrees to make you both the mortgage loans you desire, but tells Kanye that his coupon rate over the year will be 2% while, on the basis of your credit history, yours will be 8%. What is today's approximate value of your credit risk? $128,000.00$32,864.20$94,117.65$16,333.33$64,599.30