2 6 points Problem 5-20 Perpetuities (LO3) A local bank advertises the following deal: Pay us $100 at the end of each year for 12 years and then we will pay you (or your beneficiaries) $100 at the end of each year forever. a. Calculate the present value of your payments to the bank if the interest rate available on other deposits is 5.00%. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Present value $ 2772.18 b. What is the present value of a $100 perpetuity deferred for 12 years if the interest rate available on other deposits is 5.00%. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Present value $ 1098.85 c. Is this a good deal? No Yes