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A perpetuity with annual payments of 150 is payable beginning 5 years from now. This perpetuity...

A perpetuity with annual payments of 150 is payable beginning 5 years from now. This perpetuity is purchased by means of 5 annual premiums, with the first premium of P due one year from now. Each premium after the first is 105% of the proceeding one. The annual effective interest rates are 5% during the first 5 years and 9% thereafter. Calculate P. (A) 261 (B) 274 (C) 285 (D) 298 (E) 3

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