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A) Individual 1 decided to invest $2,500 at the end of each year for the next ten years, then will just let the amount compound
A) Individual 1 decided to invest $2,500 at the end of each year for the next ten years, then will just let the amount compound for 30 additional years. Individual 2 has a different investment program and will invest nothing for the next 10 years, but will invest $2,500 (at the end of each year) for the following 30 years. If we assume a 6% rate of return, compounded anually, which investment program will be worth more 40 years from now?
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