Suppose you invest $290,000 in an annuity that returns constant annual payments over 7 years, with the first payment one year from now. At an interest rate of 11%, how much is the annual payment you receive? (Equivalent problem structure: Suppose you borrow $290,000 to be paid back in constant annual payments over 7 years with the first payment one year from now. At an interest rate of 11%, how much is the annual payment?)
a) $48,482
b) $50,000
c) $52,000
d) $54,000