Question: Please answer C and show your work! Thank you. Suppose the term structure of risk - free interest rates is as shown here: a .

Please answer C and show your work! Thank you. Suppose the term structure of risk-free interest rates is as shown here:
a. Calculate the present value of an investment that pays \(\$ 2,500\) in 2 years and \(\$ 2,000\) in 5 years for certain.
b. Calculate the present value of receiving \(\$ 300\) per year, with certainty, at the end of the next 5 years. To find the rates for the missing years in the table, linearly interpolate between the years for do know the rates. (For example, the rate in year 4 would be the average rate in year 3 and year 5.)
c. Calculate the present value of receiving \(\$ 2,600\) per year, with certainty, for the next 20 years. Infer rates for the missing years using linear interpolation. (Hint: Use a spreadsheet.)
a. Calculate the present value of an investment that pays \(\$ 2,500\) in 2 years and \(\$ 2,000\) in 5 years for certain.
The present value of an investment that pays \(\$ 2,500\) in 2 years and \(\$ 2,000\) in 5 years for certain is \(\$ 4085.93\).(Round to the nearest cent.)
b. Calculate the present value of receiving \(\$ 300\) per year, with certainty, at the end of the next 5 years. To find the rates for the missing years in the table, linearly interpolate between the years for do know the rates. (For example, the rate in year 4 would be the average rate in year 3 and year 5.)
The present value of receiving \(\$ 300\) per year, with certainty, at the end of the next 5 years is \(\$ 1380.44\).(Round to the nearest cent.)
c. Calculate the present value of receiving \(\$ 2,600\) per year, with certainty, for the next 20 years. Infer rates for the missing years using linear interpolation. (Hint: Use a spreadsheet.)
The present value of receiving \(\$ 2,600\) per year, with certainty, for the next 20 years is \(\$ \square \).(Round to the nearest cent.)
Data table
 Please answer C and show your work! Thank you. Suppose the

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