Your supervisor asks you to calculate the current market value of a single coupon payment, made twentyfour months from today, from a riskless Canadian interest-only mortgage with initial balance of $500, 000.00, an announced annual coupon rate of 4% and a twenty year maturity. You know that riskless one year Canadian Treasury bills are selling for $98.99 per one hundred dollars of face value, two year riskless Canadian Treasury bonds with an annual coupon rate of 5% are selling for $101.28 per one hundred dollars of face value, and that three year Canadian Treasury bills are selling for $96.75 per one hundred dollars of face value. What approximate value do you report to him?

a. $1436.90

b. $1816.47

c. $1328.77

d. $1613.22

e. none of the above