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Benefit of compound growth

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Suppose that Joe receives $1,000 gift from his grandparents upon graduation from college. Joe took a personal finance class and understands the benefit of compound growth. Suppose Joe uses the $1,000 to open an IRA. Joe wants to retire when he is 67 years old. How much will his account be worth if he earns 11% per year (assume that Joe will invest the money for 45 years)?

Reference no: EM133110244

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