Drew Receives an Inheritance That Pays Him $50,000 Every Three

Drew receives an inheritance that pays him $50,000 every three months for the next two years. Which of the following is closest to the present value (PV) of this inheritance if the interest rate is 8.5% (EAR) ?

A) $364,309
B) $365,322
C) $400,000
D) $354,223