$($a$)$ Find the present and future value of an income stream of $$4000$ per

year for a period of $17$ years if the interest rate, compounded

continuously, is $2\%.$

NOTE: Round your answer to the nearest cent.

Present value $=$$

Future value $=$$

$($b$)$ Explain, in plain language, what the present and future values

mean in terms of the income stream.

A stream of income of $4000$ per year invested in a bank account

paying $2\%$ annual interest rate will grow to $

in $17$ years. This is the

value.

The

value of $