Below is a list of the items purchased ans cost per item in Jeremeys market basket in 2007 and 2008. Assume Jeremy spent all his income in each yearItem Q in 2011 P in 2011 Q in 2012 P in 2012Jeans 7 $40 6 $50t-Shirts 9 $ 25 10 $20Burgers 14 $4 13 $5!)How much income did Jeremy have in 2011? In 2012?2) Use Jeremy’s market basket ( the Q) in 2011 ro calculate a price index. If the price index is set=100.0 in 2012, how much would the price index be in 2011? ( i.e. use the 2011 quantites to determine how much prices rose between 2011 and 2012)3) Assume the intrest rate is 6%. What is the present value of $10,000 to be collected in five years?