3. The market value of a fruit tree in year t is 1it} = Emit-5t]. a. In what year is the fruit toee most valuable? What is the value of the tree at that time? h. If the real interest is 3%, when should the owner optimally harvest the tree? What is the value of' the tree at that time? c. How say the real interest is 5%. Now when should the owner optimally harvest the tree? What is the value at that time? |Compare your results from the previous two parts and comment on your findings. d. Assume again that the real interest rate is 3%. If the timer harvests the tree at the time determined in part b] what is the value of the resulting asset if the owner invests the proceedings from the harvest in a bank account that pays a 3% annual rate of interest for the rest of period until the year you found in part a}? How does this compare to the value of the tree you calculated in part b]. Comment on your ndings