Spot rates over different horizons are given below. Each of the rates is expressed as a stated annual rate, which assumes quarterly compounding.

One-quarter 3.6%

Two-quarters 4.4%

Three-quarters 5%

Four-quarters 5.2%

What is the value today of a lottery payout that pays $10,000, $20,000, $30,000 and $40,000 at the end of each quarter respectively? Would you prefer this payout over time or $95,000 now? Plot the quarterly yield curve.