In the Grapple Challenge, Quarters can be found in the faculty rooms. One Quarter is located in a classroom.
Other appearances
Baldi rewarding the player with a Quarter in Baldi's Basics Classic.
In Baldi's Basics Classic, the Quarter is the first item the player can obtain after answering Baldi's first three math problems correctly from the beginning of the game, and obtaining the first notebook. Quarters can also be found randomly in hallways and one of the faculty rooms with the Alarm Clock.
Ironically, a Quarter costs 25 You Thought Points, and a Quarter represents 25 cents in real life.
As of the current version, the Quarter is the cheapest item in Johnny's Store.
Three Quarters in a faculty room.
It is incredibly rare to have three Quarters in a faculty room.
Baldi's Basics Classic
Before V1.3, there were only two Quarters the player could find, one from Baldi, and another in a faculty room.
The feature of Quarters spawning randomly in halls was later implemented in the V1.3 update.
The Quarter and It's a Bully have the same spawn points. This can be seen if the player gives him an item and when he vanishes, there is a small chance a Quarter could be in the exact same position.
Quarter from the current Baldi's Basics Classic screenshot.
Quarter from the pre-updated Baldi's Basics Classic screenshot.
Quarter seen being held by It's a Bully's clip hanger.
Quarter from Baldi's action figure.
Quarter from the "Rewards" header in the Kickstarter page.
References
↑"I'm considering giving Quarters in like a separate item slot in the full game so you stack Quarters instead of having them to take off from your item slot. I'm-I'm thinking about getting you like five slots in the full game and then get this new separate Quarter slot." - Livestream archive 1:12:13~1:12:29
