You Just Settled an Insurance Claim

You just settled an insurance claim. The settlement calls for increasing payments over a 5-year period. The first payment will be paid one year from now in the amount of $30,000. The following payments will increase by 6% annually. What is the value of this settlement to you today if you can earn 8.5% on your investments?

A) $126,408.28
B) $129,417.11
C) $132,023.05
D) $141,414.14
E) $152,008.16