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Time value of money calculations are used to determine the

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1. Time value of money calculations are used to determine the value of potential retirement benefits. If a person deposits $1,800 a year in a retirement account earning 6 percent for 20 years, what would be the future value of that account?

2. A non-taxable employee benefit has a greater value than the stated amount. What would be the tax equivalent\ value of a nontaxable employee benefit of $392? Assume a 30 percent tax rate.

Reference no: EM13574703

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