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Philippe is excited as he is considered a top performer at his place of employment and will receive a significant company bonus at the end

Philippe is excited as he is considered a top performer at his place of employment and will receive a significant company bonus at the end of the month of $20,000. He is looking to invest this money in his Tax-Free Savings Account (TFSA). He currently has TFSA contribution room of $37,500 and the contribution of his bonus would be the first time that he contributes. In addition, to contributing his company bonus, he is looking to invest $400 a month into his TFSA (also starting at the end of the month when he gets his pay cheque). Philippe expects a rate of 6% compounded monthly and is wondering how much he will have after five years in his TFSA?

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