The overhead costs in a highly automated factory are expected to increase at an annual compound rate of 10% for the next 7 years. The overhead cost at the end of the first year is $200,000. What is...

The overhead costs in a highly automated factory are expected to increase at an annual compound rate of 10% for the next 7 years. The overhead cost at the end of the first year is $200,000. What is the annual worth of the over head costs for the 7-year period? The time value of money rate is 8%/ year. a. $263,250 b. $231,520 c. $200,000 d. $187,020.