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Someone in the 36 percent tax bracket can earn 7 percent annually on her investments in a tax-exempt IRA account. What will be the value of a one-time $17,000 investment in 5 years? 10 years? 20 years? You may use Appendix C to answer the questions. Do not round intermediate calculations. Round your answers to the nearest dollar. in 5 years: $ in 10 years: $ in 20 years: $ Suppose the preceding 7 percent return is taxable rather than tax-deferred and the taxes are paid annually. What will be the after-tax value of her $17,000 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: $

TABLE C.3 Future Value of $1 at the End of n Periods: APPENDIX Period 2% 5% 6% 7% 8% 9% 10% 12% 14% 15% 16% 18% 20% 1.0 100 10200 1.0300 1.0400 1.0500 1.0600 1.0700 1.0800 1.0900 1.1000 1.1200 11400 M500 1.600 1800 20CO 21.0201 10404 1.0609 1.0816 1.1025 11236 1449 1664 188 2100 2544 1.2996 13225 13456 3924 14400 3 1.0303 10612 .0927 11249 576 1910 2250 2597 12950 3310 14049 14815 15209 .5609 1.6430 17280 4 1.0406 1.0824 1.1255 1.1699 12155 2625 3108 3605 14116 14641 15735 1.6890 1.7490 1.8106 19388 20736 5 1.0510 1.1041 1593 2167 12763 13382 14026 1.4693 15386 16105 17623 19254 20114 2.1003 22878 24883 6 10615 11262 1941 2653 1301 14185 5007 5869 1.6771 1.7716 19738 2.1950 2.3131 24364 26996 29860 1.0721 11487 12299 1.3159 14071 15036 1.6058 .7138 18280 19487 2 2107 2.5023 26600 28262 31855 35832 8 1.0829 1.1717 1.2668 1.3686 14775 1.5938 1.7182 1.8509 19926 21436 24760 28526 30sso 27H "89 42s 9 1.0937 1.1951 13048 1.4233 15513 16895 1.8385 19990 2.1719 23579 2773 32519 35179 38030 44355 51598 10 1.1046 12190 1.3439 1.4802 16289 7908 1.9672 2.1589 2.3674 2.5937 3 1058 37072 40456 44114 52338 6.1917 11.1157 12434 13842 15395 17103 1.8983 2.1049 2.3316 2.5804 2853 34785 4.2262 6524 5 1173 6.1759 74301 12 1268 12682 1 4258 16010 1799 2.0122 2.2522 2.5182 2.8127 3138 3.8960 48179 53502 59360 7.2876 89161 13 138 12936 14685 1.6651 18856 2.1329 2.4098 2.7196 3.0658 34523 4.3635 5.4924 6.1528 68858 8599 10.699 141.1495 13195 15126 1.7317 19799 2.2609 2.5785 29372 3.3417 3.7975 .8871 62613 70757 79875 107 12.839 15 .1610 1349 1.5580 1.8009 2.0789 2.3966 2.7590 3.1722 3.6425 1772 54736 7,1379 81371 92655 11973 15407 16 1726 13728 1.6047 18730 21829 2.5404 2.9522 3.4259 39703 5950 6.1304 81372 9.3576 10.748 14.129 18488 17 1.1843 14002 16528 19479 22920 2.6928 31588 3.7000 43276 50545 68660 92765 016 246, 16672 22186 18 1.1961 14282 1.7024 2.0258 24066 28543 3.3799 3.9960 1 55599 7.6900 10.575 2 375 14462 19.673 26.623 19 1.2081 1.4568 1.7535 2.1068 25270 3.0256 3.6165 43157 5.1417 6.159 8.6128 12055 14 231 16.776 23.214 31948 20 1.2202 1.4859 1.8061 2.1911 2.6533 3.2071 3.8697 46610 5.6044 6.7275 9.6463 13.743 16366 19.460 27.393 38.337 21 1.2324 15157 1.8603 22788 2.7860 3.3996 4.1406 5.0338 6.1088 74002 10.803 15.667 18.821 22.574 32.323 46.005 22 2447 15460 19161 2.3699 2.9253 3.6035 .4304 5.4365 66586 8.1403 12.100 17861 21.644 26.186 38.142 55.206 23 12572 15769 19736 2.4647 3.0715 3.8197 4.7405 5.8715 7.2579 8.9543 13.552 20.36 24.891 30.376 45.007 66.247 24 1.2697 1.6084 2.0328 25633 3225 4.0489 5.0724 6.3412 7911 98497 15.178 23212 28.625 35.236 53.108 79.496 25 1.2824 16406 2.0938 26658 33864 4.2919 5.4274 6.8485 86231 10.834 17.000 26.461 32918 40.874 62.668 95.396 26 1.2953 6734 2.1566 2.7725 35557 4.5494 5.8074 7.3964 9.3992 1918 19.040 30.166 37.856 47414 73948 11447 27 1.3082 1.7069 2.2213 28834 3.7335 48223 6.2139 7.9881 10245 13.10 21.324 34.389 43535 55.000 87.259 137.37 28 1.3213 1.74 10 2.2879 2.9987 39201 5.1117 66488 86271 .167 14,421 23j jg.04 50.05 63e00-0296 16.4 29 1.3345 1.7758 2.3566 3 1187 4.1161 5.4184 7.1143 93173 12-172 15.863 26749 44693 575 -2150 97 30 1.3478 18114 2.4273 3.2434 4.3219 5.7435 7.6123 10062 13267 17.449 29.959 50950 66.21 85.849 143.37 237.37 TABLE C.3 Future Value of $1 at the End of n Periods: APPENDIX Period 2% 5% 6% 7% 8% 9% 10% 12% 14% 15% 16% 18% 20% 1.0 100 10200 1.0300 1.0400 1.0500 1.0600 1.0700 1.0800 1.0900 1.1000 1.1200 11400 M500 1.600 1800 20CO 21.0201 10404 1.0609 1.0816 1.1025 11236 1449 1664 188 2100 2544 1.2996 13225 13456 3924 14400 3 1.0303 10612 .0927 11249 576 1910 2250 2597 12950 3310 14049 14815 15209 .5609 1.6430 17280 4 1.0406 1.0824 1.1255 1.1699 12155 2625 3108 3605 14116 14641 15735 1.6890 1.7490 1.8106 19388 20736 5 1.0510 1.1041 1593 2167 12763 13382 14026 1.4693 15386 16105 17623 19254 20114 2.1003 22878 24883 6 10615 11262 1941 2653 1301 14185 5007 5869 1.6771 1.7716 19738 2.1950 2.3131 24364 26996 29860 1.0721 11487 12299 1.3159 14071 15036 1.6058 .7138 18280 19487 2 2107 2.5023 26600 28262 31855 35832 8 1.0829 1.1717 1.2668 1.3686 14775 1.5938 1.7182 1.8509 19926 21436 24760 28526 30sso 27H "89 42s 9 1.0937 1.1951 13048 1.4233 15513 16895 1.8385 19990 2.1719 23579 2773 32519 35179 38030 44355 51598 10 1.1046 12190 1.3439 1.4802 16289 7908 1.9672 2.1589 2.3674 2.5937 3 1058 37072 40456 44114 52338 6.1917 11.1157 12434 13842 15395 17103 1.8983 2.1049 2.3316 2.5804 2853 34785 4.2262 6524 5 1173 6.1759 74301 12 1268 12682 1 4258 16010 1799 2.0122 2.2522 2.5182 2.8127 3138 3.8960 48179 53502 59360 7.2876 89161 13 138 12936 14685 1.6651 18856 2.1329 2.4098 2.7196 3.0658 34523 4.3635 5.4924 6.1528 68858 8599 10.699 141.1495 13195 15126 1.7317 19799 2.2609 2.5785 29372 3.3417 3.7975 .8871 62613 70757 79875 107 12.839 15 .1610 1349 1.5580 1.8009 2.0789 2.3966 2.7590 3.1722 3.6425 1772 54736 7,1379 81371 92655 11973 15407 16 1726 13728 1.6047 18730 21829 2.5404 2.9522 3.4259 39703 5950 6.1304 81372 9.3576 10.748 14.129 18488 17 1.1843 14002 16528 19479 22920 2.6928 31588 3.7000 43276 50545 68660 92765 016 246, 16672 22186 18 1.1961 14282 1.7024 2.0258 24066 28543 3.3799 3.9960 1 55599 7.6900 10.575 2 375 14462 19.673 26.623 19 1.2081 1.4568 1.7535 2.1068 25270 3.0256 3.6165 43157 5.1417 6.159 8.6128 12055 14 231 16.776 23.214 31948 20 1.2202 1.4859 1.8061 2.1911 2.6533 3.2071 3.8697 46610 5.6044 6.7275 9.6463 13.743 16366 19.460 27.393 38.337 21 1.2324 15157 1.8603 22788 2.7860 3.3996 4.1406 5.0338 6.1088 74002 10.803 15.667 18.821 22.574 32.323 46.005 22 2447 15460 19161 2.3699 2.9253 3.6035 .4304 5.4365 66586 8.1403 12.100 17861 21.644 26.186 38.142 55.206 23 12572 15769 19736 2.4647 3.0715 3.8197 4.7405 5.8715 7.2579 8.9543 13.552 20.36 24.891 30.376 45.007 66.247 24 1.2697 1.6084 2.0328 25633 3225 4.0489 5.0724 6.3412 7911 98497 15.178 23212 28.625 35.236 53.108 79.496 25 1.2824 16406 2.0938 26658 33864 4.2919 5.4274 6.8485 86231 10.834 17.000 26.461 32918 40.874 62.668 95.396 26 1.2953 6734 2.1566 2.7725 35557 4.5494 5.8074 7.3964 9.3992 1918 19.040 30.166 37.856 47414 73948 11447 27 1.3082 1.7069 2.2213 28834 3.7335 48223 6.2139 7.9881 10245 13.10 21.324 34.389 43535 55.000 87.259 137.37 28 1.3213 1.74 10 2.2879 2.9987 39201 5.1117 66488 86271 .167 14,421 23j jg.04 50.05 63e00-0296 16.4 29 1.3345 1.7758 2.3566 3 1187 4.1161 5.4184 7.1143 93173 12-172 15.863 26749 44693 575 -2150 97 30 1.3478 18114 2.4273 3.2434 4.3219 5.7435 7.6123 10062 13267 17.449 29.959 50950 66.21 85.849 143.37 237.37