A rich relative has bequeathered you are a growing perpetuity. The first payment will occur in a year and will be $3,000. Each year after that, you will receive a payment on the anniversary of the lat payment that is 8% larger than the last payment. This pattern of payments will go on forever. Assume that the interest rate is 16% 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?