a) You are going to carn we = $200,000 when working (age 21 and 60), and then you are going to live for the next 20 years with we $0. Find the constant level of consumption C during years (21-80) that can be financed by your income (Interest rate is 5%). Find the level of savings Se=wi C for periods t 60 b) Consider the problem in a). Assume that you inherit $1,000,000 (one million $) apart from your regular income, at the age of 20. Find C and S.? c) Consider the problem in b). Assume that you also leave your offspring a bequest of $1,000,000 (one million $). Find C and S. d) Optional: Accumulated wealth in period is given by W, = W-1(1+r) + S, that is it coincides with wealth from the previous period plus interest and savings in t. The agent's initial wealth is W20 = 0. Using Excel sheet, plot the behavior of wealth W over your life time for points a-c. When the agent's wealth attains it's maximum? What can you say about the wealth level at the end of life: W30? a) You are going to carn we = $200,000 when working (age 21 and 60), and then you are going to live for the next 20 years with we $0. Find the constant level of consumption C during years (21-80) that can be financed by your income (Interest rate is 5%). Find the level of savings Se=wi C for periods t 60 b) Consider the problem in a). Assume that you inherit $1,000,000 (one million $) apart from your regular income, at the age of 20. Find C and S.? c) Consider the problem in b). Assume that you also leave your offspring a bequest of $1,000,000 (one million $). Find C and S. d) Optional: Accumulated wealth in period is given by W, = W-1(1+r) + S, that is it coincides with wealth from the previous period plus interest and savings in t. The agent's initial wealth is W20 = 0. Using Excel sheet, plot the behavior of wealth W over your life time for points a-c. When the agent's wealth attains it's maximum? What can you say about the wealth level at the end of life: W30