A $40,000,000 par value treasury note issue with a coupon of 6

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A $40,000,000 par value treasury note issue with a coupon of 6.50% and yield of 2.10% matures in 2 years. The treasury issue is purchased and its 4 coupons and par value are stripped and sold as individual securities. What is the arbitrage profit if the strips are priced using the following yields; 6 month=.04%, 12 month=.07%, 18 month=.09% and 24 month=.16%.

Multiple Choice

$45,065,181

1,635,676

1,770,495

1,463,005