Boudreaux, age 30, wants to retire at age 60. He currently makes $50,000 per year. He has an objective to live on 75 percent of his preretirement income when he retires. He wants the retirement income to be inflation adjusted and he wants to receive the income for each year of retirement at the beginning of that year. Boudreaux has an investment portfolio valued at $150,000, which is currently earning 8 percent average annual returns. He expects to continue earning 8 percent throughout the rest of his life. Boudreaux expects inflation to average 3 percent and based on his ancestors' health and lifespans, he predicts that he will live to age 95. Boudreaux is currently saving 7 percent of his gross income at each year-end and expects to continue this level of savings. Boudreaux wants to ignore any Social Security benefits for purposes of planning. How much does he need to accumulate by age 60?

a. $1,518,209.48

b. $1,591,908.97

c. $1,491,834.24

d. $2,122,545.29