HELP 2-03

a. Someone in the 15 percent tax bracket can earn 12 percent annually on his investments in a tax-exempt IRA account. What will be the value of a 516,000 investment in 5 years? 10 years? 20 years? You may use Appendox C to answer the questions. Do not round intermediate calculations. Round your answers to the nearest doliar. in 5 years: 5 in 10 yearst 5 in 20 yeirs: 5 b. Suppose the preceding 12 percent return is taxable rather than tax-deferred and the taxes are paid annually. What will be the after-tax value of his $16,000 investment after 5,10 , and 20 years? Do not round intermediate calculations. Round your answers to the nearest dollar. in 5 years: $ in 10 years: $ in 20 years: $