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Tom invests $130,000 in a stock paying a 8% annual dividend. Tom's ordinary MTR is 32% percent, and Tom's preferential (LTCG) tax rate is
Tom invests $130,000 in a stock paying a 8% annual dividend. Tom's ordinary MTR is 32% percent, and Tom's preferential (LTCG) tax rate is 15% percent. If Tom reinvests the annual dividend that he receives net of any taxes owed on the dividend, how much will his investment be worth in 7 years? Assume the dividends are qualified dividends. Round your answer to the nearest whole number.
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