policy to you. The details of the policy are as follows: the purchaser makes the following five paymer the insurance company 1. You want to have $2 milion to use for retirement in 35 years. AA insurance company is offering a S 60000 in year1 $ 60000 in year 2 s 70000in year 3 $ 70000 in year 4 $ 80000 in year 5 You will receive S1 million in 35 years. The relevant interest rate is 10 percent for the first 5 years and 5 per for all subsequent years. Required: I). Calculate the present value of five payments. (5 marks) 2). Should you accept this policy? Why? (7 marks) 3). If you are a financial consultant, please help insurance company to design a new policy which all customers to pay equal payment in the first five year and receive $2 million in 35 years. ( 8 marks) ma