You have purchased a three-year inflation-indexed investment. This investment will pay you $X every six months, with each payment adjusted upward for inflation. Let’s say that the proposed first...

You have purchased a three-year inflation-indexed investment. This investment will pay you $X every six months, with each payment adjusted upward for inflation. Let’s say that the proposed first payment is $300 (before inflation adjustment), the average forecasted inflation rate will be 0.5% every six months for the next three years, and your required annual rate of return is 6% (compounded semi-annually). What is the present value of this inflation-indexed investment? (Hint: You cannot use a financial calculator to solve this problem.)