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A regular retirement plan requires that taxes be paid at the time the money is removed from the plan. What is the after-tax value of
A regular retirement plan requires that taxes be paid at the time the money is removed from the plan. What is the after-tax value of a $5,000 deposit into a retirement plan today that generates an 8% return for 20 years if the investor is taxed at the 28% level?
A. $16,779
B. $23,305
C. $21,685
D. $20,135
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