After Receiving a Reward for Information Leading to the Arrest

Multiple Choice

After receiving a reward for information leading to the arrest of a notorious criminal, you are considering investing it in an annuity that pays $5, 000 at the end of each year for 20 years.You could earn 5% on your money in other investments with equal risk.What is the most you should pay for the annuity?

A) $50, 753
B) $53, 424
C) $56, 236
D) $59, 195
E) $62, 311