Autumn is considering two insurance settlement offers. The first offer includes annual payments of R$5000,$ R$7500,$ and R$10000$ over the next three years, respectively. The other offer is the payment of one lump sum amount today. She is trying to decide which offer to accept given the fact that the discount rate is $5\%.$ What is the minimum amount that she will accept today if she is to select the lump sum offer?

a$.$

R$23387,50$

b$.$

R$20203,00$

c$.$

R$21213,15$

d$.$

R$24556,88$

Question $8$

Sherman Alexander Hemsley established a trust fund that provides R$150000$ in scholarships each year for worthy students. The trust fund earns a $4,25\%$ rate of return. How much money did he contribute to the fund assuming that only the interest income is distributed?

a$.$

R$3291613,13$

b$.$

R$3529411,77$

c$.$

R$4328970,44$

d$.$

R$3750000,00$