George and Nancy Are Husband and Wife and Live in Arizona.In

George and Nancy are husband and wife and live in Arizona.In 1988, they purchased a commercial annuity for $300,000 using community funds.Under the terms of the contract, $3,750 a month is payable to them for George's life.If George predeceases Nancy, $3,300 a month is payable to Nancy.George dies in 2009 when the replacement value of Nancy's annuity is $150,000.As to the annuity, George's estate includes:

A) $0.
B) $50,000.
C) $75,000.
D) $150,000.
E) None of the above.