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Dan Plans to Fund His Individual Retirement Account (IRA)with a Maximum

Question 3

Multiple Choice

Dan plans to fund his individual retirement account (IRA) with a maximum contribution of $2,000 at the end of each year for the next 10 years.If Dan can earn 10 percent on his contributions,how much will he have at the end of tenth year? (Round to the nearest whole dollar)


A) $12,290
B) $20,000
C) $31,875
D) $51,880
E) $27,468

Correct Answer:

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