Now assume that interest rate drops to r=3% Assuming Y0=1000, Y1=800 and C0=850, calculate C1. You can round the final number. Hints: You were given the equation above that represented an intertemporal budget constraint, in which the present value of consumer expenditures must equal the present value of income in the two periods: C0 + C1/(1+r) = Y0 + Y1/(1+r) Now you are being asked to take this equation and solve for C1 You have been given the rest of the variables: C0=850 Y0= 1000 Y1= 800 r=0.03 Now solve for C1 Group of answer choices 955 942 930 927