An insurance company is offering a new policy to its customers. Typically, the policy is bought by a parent or grandparent for a child at the childs birth. The details of the policy are as follows: The purchaser (say, the parent) makes the following four payments to the insurance company:

First birthday	Second birthday	Third birthday	Fourth birthday
$770	$770	$870	$850

After the childs fourth birthday, no more payments are made. When the child reaches age 65, he or she receives $240,000. Currently, the relevant interest rate is 10%. The interest rate will decline by 3% at the beginning of the fifth year and this lower interest rate can be applied for all subsequent years. What would the value of the deposits be when the policy matures? Given this value, would you accept the insurance companys offer?