Question: The U.S. Treasury announced it will offer a new security to investors, and you have been asked to estimate its worth. The security will

The U.S. Treasury announced it will offer a new security to investors,

The U.S. Treasury announced it will offer a new security to investors, and you have been asked to estimate its worth. The security will make a total of 10 payments of $500, and the payment will occur three-years apart. The first payment will be made two years from today at t=2 (and the second at t=5, third at t=8, and so on). What price should you recommend as a fair price today if investors require a 10% annual rate of return?

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