Your Parents Would Like to Establish a Trust Fund That

Your parents would like to establish a trust fund that would pay annual payments to you and your heirs of $100,000 a year forever. How much do your parents need to deposit into this trust fund today to achieve their goal if the fund can earn 7 percent interest?

A) $678,342
B) $700,000
C) $1,211,516
D) $1,389,407
E) $1,428,571