Claire is serving on a jury. A plaintiff is suing the city for injuries sustained after falling down an uncovered manhole and not being able to work for the past two years. In the trial, doctors testified that it will be one more year before the plaintiff is able to return to work. The jury has already decided in favor of the plaintiff. Claire is the foreman of,the jury and proposes that the jury give the plaintiff an award today to cover the following items: (1) The present value of2 years of back-pay ($39,900 for 2006, $41,895 for 2007). Assume that today is December 31, 2007, and that all salary is received at year end. (2) The present value of 1 year of future salary. Assume that the plaintiffs salary would increase at a rate of 5 percent per year. (3) $130,000 for pain and suffering. (4) $42,000 for court costs. Assume an interest rate of 8 percent. What should be the size of the settlement? a. $296,069.45 b. $291,872.11 c. $295,041.45 d. $293,882.77 e. $297,718.25