The present value (at age 30) of your retirement savings is closest to:

Assume that you are 30 years old today, and that you are planning on retirement at age 65. Your current salary is $45,000 and you expect your salary to increase at a rate of 5% per year as long as you work. To save for your retirement, you plan on making annual contributions to a retirement account. Your first contribution will be made on your 31st birthday and will be 8% of this year's salary. Likewise, you expect to deposit 8% of your salary each year until you reach age 65. Assume that the rate of interest is 7%.
The present value (at age 30) of your retirement savings is closest to:

a) $87,000
b) $108,000
c) $46,600
d) $75,230