Silay Company has established a defined benefit pension plan for its employees. Annual payments under the pension plan are equal to 3% of an employee's highest lifetime salary multiplied by the number of years with the entity. An employee's salary in 2010 was P500,000. The employee is expected to retire in 10 years, and the salary increases are expected to average 4% per year during that period. As of December 31, 2010, the employee has worked for 15 years. The future value of 1 at 4% for 10 periods is 1.48. What is the annual pension payment that should be used in computing the projected benefit obligation on December 31, 2010? *

a. 225,000

b. 555,000

c. 375,000

d. 333,000