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Suppose the 8 Percent Investment of the Previous Problem Is

Question 2

Multiple Choice

Suppose the 8 percent investment of the previous problem is taxable rather than tax-deferred.What will be the after-tax value of his $10,000 investment after 5 years (assuming annual compounding) ?


A) $10,680
B) $11,765
C) $13,895
D) $14,693
E) $15,528

Correct Answer:

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