An old agreement obliges the state to help a rural county maintain a bridge by paying $60,000

Question:

An old agreement obliges the state to help a rural county maintain a bridge by paying $60,000 now and every two years thereafter forever The state wants to discharge its obligation by paying a single sum to the count) now for the payment due and all future payments. How much should the state pay the county if the is?
a. 8% per year?
b. 12% per year?
Required:
Calculations of present and (or single payments and for annuities, to make the exercises more realistic, we do not give specific guidance with each individual exercise.

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