At the beginning of year 1, Sandeep invests $10,000 in a money market fund that pays a 3% annual return before taxes. Sandeep's marginal tax rate is 25%, and he allows the after-tax earnings to remain in the money market fund. That is, he withdraws only enough cash to pay the taxes on the earnings. What is his after-tax accumulation at the end of year 2?

Group of answer choices

$10,455

$10,690

$10,609

None of the above