Ben is a senior. He has $1000 to make it through the year. However, he has a job offer in hand for a position that pays $50,000 per year. a. What is the present value of his budget constraint if interest rates are 4% (assume the $1000 is in period 0 and the $50k is received in period 1). Provide the numeric budget constraint in period 0 for consumption in period 0 and period 1. (5)b. Submit a diagram of his budget constraint showing period 0 and period 1 axes, with intercept point clearly indicated, and the slope clearly indicated. (5)c. Assume that Ben is planning on spending $20,000 in period 0 and the rest in period 1. Mark this point clearly on the budget constraint you drew in question b. (2)d. It seems a bit unlikely that Ben's actual interest rate on borrowing is 5%. Most likely when he borrows he is going to have to use his credit card, which has an interest rate of 20%. On the diagram above draw the resulting budget constraint. (3)e. What predictions can you make about Ben's actual levels of consumption in period 0 and period 1 after the interest rate has change? (5)