A rich relative has bequeathed you a growing perpetuity. The first payment will occur in a year and will be

$2,000.

Each year after that, you will receive a payment on the anniversary of the last payment that is

6%

larger than the last payment. This pattern of payments will go on forever. Assume that the interest rate is

14%

per year.

a. What is today's value of the bequest?

b. What is the value of the bequest immediately after the first payment is made?

A rich relative has bequeathed you a growing perpetulty. The first payment will occur in a year and will be $2,000. Each year atser that, you will receive a payment on the aniniversary of the last payment that is 6% larger than the last payment. This pathem of payments will go on forever. Assume that the interest rate is 14% per year. a. What is today's value of the bequest? b. What is the value of the bequest immediately after the first payment is made? a. What is today's value of the beques? Today's value of the bequest is 3 (Round to the nearest dolar.)