Mitchell is $58$ and single. He does not have children of his own but is close to his sister and her two children. He has been working with a financial planner on his estate plan and has specific goals for how his estate should be distributed. He would like his sister to inherit his estate, including his condo, his cottage$,$ and his investment portfolio. He also wants his niece and nephew to each receive an inheritance of $$100,000.$ He wants to ensure that his sister will receive the full value of his assets at death without having to sell assets to cover the children's inheritance or pay for estate taxes, which his financial planner has estimated to be $$350,000$ at his life expectancy of age $94.$ Mitchell has no life insurance coverage in place but is open to applying for permanent life insurance to help meet his estate goals. How much permanent life insurance should Mitchell apply for today if the policy's death benefit can be expected to grow at an annual rate of $2\%?$

Question $7$ options:

$$175,000$

$$275,000$

$$550,0008$