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Question no 8: A risk-free security pays a dividend of $200 after two years $300 after three years and $400 for the next four years

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Question no 8: A risk-free security pays a dividend of $200 after two years $300 after three years and $400 for the next four years after four, five, six and seven years - total 4 cash flows of $400). The risk-free interest rate is 2% for the first two years and 5% for the third year. After that the rate will drop back to 2% forever. What is the market price of this security

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