• The taxpayer earns pre-tax compensation of $16,666.66
• The taxpayer always has an ordinary tax rate of 40%
• The taxpayer always has a capital gains tax rate of 20%
• The taxpayer can earn an annual pretax rate of return on taxable bonds, stocks and tax exempt bonds of 4%
• The taxpayer reinvests all investment returns in the same investment earning the same pretax rate of return

1. If the taxpayer invests this compensation in fully taxable bonds how much will she have at the end of 10 years after all taxes have been paid?