Sharon Walsh has developed and patented a computer chip that allows telecommunications in race cars to become more efficient. She agrees to sell the patent to Pensca for five annual payments of $50,000 each. The payments are to begin three years from today. Given an annual rate of 6%, what is the present value of the five payments?

A. $176,839

B. $187,450

C. $210,618

D. $218,820

The Answer is B, but I am confused on how they got it.