Clarissa Wants to Fund a Growing Perpetuity That Will Pay

Multiple Choice

Clarissa wants to fund a growing perpetuity that will pay $5000 per year to a local museum,starting next year.She wants the annual amount paid to the museum to grow by 5% per year.Given that the interest rate is 8%,how much does she need to fund this perpetuity?

A) $62,500.00
B) $102,112.33
C) $143,445.65
D) $166,666.67
E) $100,000.00