Assume you land a great job after graduation and you are talking to your boss. He is 35 years old and has a one-time amount of $5,000 to invest for his retirement when he turns 68 years old. If he invests in stocks, which have a lot of price volatility each year. It may be up one year by 25%, or down by 15% another, but averages 10% gains per year over the next 33 years. How much will he have?
A) $1,000.00
B) $10,567.05
C) $23,098.09
D) $116,125.77
E) $9,611.16
D) $116,125.77
Explanation: BV (PV) 5,000
N 33
i/y 10
Solve EV (FV) 116,125.77
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