Sarah has $40,000 that she can invest today. In addition to this amount, she can also invest $15,00 per year for 18 years (beginning one year from now) at which time she will retire. She plans on living for 25 years after she retires. If interest rates are always 4 percent, what size annual annuity payment can Sarah obtain for her retirement years? (All annuity payments are at year-end. Round your answer to the nearest dollar.)

A. $2,775

B. $2,750

C. $2,725

D. None of the above.