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Ashiey Travis, of Phoenix, Arizona, is in the 22 percent marginal tax bracket and is considering the tax consequences of investing $1,950 at the end
Ashiey Travis, of Phoenix, Arizona, is in the 22 percent marginal tax bracket and is considering the tax consequences of investing $1,950 at the end of each year for 30 years in a tax-sheltere retirement account, assuming that the imvestment earns 9 percent annually. a. How much witl Ashley's account total over 30 years if the growen in the investment remains sheltered from taves? (Hint: Use Appendix A-3 or the Garman/forgue companion website.) Round Future Value of a Series of Equal Amounts in intermediate celculations to four decimal places. Reund your answer to the nearest dolar. s B. How much will the sccount total if the investments are not shetered from taves? (Hint: Use Appendix A-I by rounding the after-tax rate of retum to the neorest whole number or wse the GarmaryForgue companion webshe.) Round Future Value of a Series of Equal Amounts in intermediate ceiculations to four decimal places. Round your ansaer to the rearest doliar: 5
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