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Suppose an individual deposits $ 1 , 0 0 0 in a bank, earning 8 % annually at the beginning of each of the next

Suppose an individual deposits $

1, 000

in a bank, earning

8 %

annually at the beginning of each of the next two years. What is the cumulative future value of both deposits after the second year? The first deposit earns interest for two years, while the second deposit earns interest for only one year. What is the future value of both deposits after two years?

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