John decides to take his annual Christmas bonus of $2,000 and invest it each year for the next five years, in stock he believes can earn an 8% annual return. How much will John's investment be worth at the end of the five years?

A) $11,972
B) $19,098
C) $11,734
D) $15,600


Answer: C
Explanation: C) $2,000 × 5.867 (FVIFA) = $11,734

Business

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