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A federal treasury bill issued bonds with the following characteristics: Face value = $5,000 and coupon...

A federal treasury bill issued bonds with the following characteristics: Face value = $5,000 and coupon rate is 1.5% per quarter and payments are quarterly. This bond is bought in the bond market before maturation and there are only 22 payments remaining. The next payment is due in one month which you collect if you buy this bond now. How much would you be willing to pay for this bond today if the next interest payment is due today? As investor, you wish to earn 7% compounded daily. Assume for simplicity that there are 30 days a month and 90 days in a quarter.

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