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If Tom invests $95,000 in a taxable corporate bond that provides a 10 percent before-tax return, how much will Tom's investment be worth in either

If Tom invests $95,000 in a taxable corporate bond that provides a 10 percent before-tax return, how much will Tom's investment be worth in either 8 or 20 years from now when the bond matures? Assume Tom's marginal tax rate is 35 percent.

Multiple Choice

$203,641; $639,112
$172,512; $399,410
$159,351; $342,712
$157,225; $334,746
None of the choices are correct.

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