3. A company must payoff a liability of 7,000 in 5 years. The company has an asset portfolio that produces a payment of A in 2 years and a payment of B in 8 years. The company employs a full immunization strategy, and the annual effective interest rate is 3.5%. Calculate | |. (A) 718.64 (B) 723.71 (C) 728.38 (D) 733.94 (E) 738.72 4. A company must pay liability cash flows of $1000, $X, and $1000 at the end of years 2, 4, and 6 respectively. The company achieves Redington immunization by purchasing assets that have two cash inflows: $733 at the end of one year and Y at the end of 5 years. The effective annual interest rate is 10%. Determine Y. (A) 1,789 (B) 1,934 (C) 2,152 (D) 2,201 (E) 2,376